NETWORK OPTIMIZATION FOR COST EFFECTIVE AND RESPONSIVE SUPPLY CHAINS
Re-define Your SUPPLY CHAIN Network for Maximum Efficiency
Maintaining Optimal Supply Chain Network
Review your supply chain network design periodically to ensure optimal network cost and service levels.
- Key questions you should be asking about your supply chain network
- Manufacturing: How many manufacturing plants? Where should they be located? How large should they be? How many production lines? What products should they make, which warehouses they will service? Where should you open a new manufacturing plant / line? What is the impact of increasing / decreasing the manufacturing capacity of a plant/line on my supply chain?
- Warehousing: How many warehouses? Where should they be located? How large should they be? What products will they distribute? Which dealers / retailers they will service? What is the impact of consolidating existing warehouses?
- Transportation: What should be your primary and secondary transportation model?
- What is the impact of changes in demand, labor cost and other external factors on the overall network?
Simulating Business Scenarios and Optimizing Supply Chain Network Cost
Our proprietary network optimization tool (OPT-NET) allows you to simulate multiple “what-if” business scenarios and optimize total landed cost for the most probable scenario.
- Baseline Network Cost: Our solution performs deep-dive analysis of your current supply chain network and establishes a clear understanding of your cost drivers, including manufacturing, warehousing, and distribution legs.
- What-if Business Scenario Modeling: Our solution has the ability to simulate and compare various ‘What-if’ business scenarios by applying various levers and constraints (such as consolidating facilities, adding new facilities, increasing / decreasing the capacity of a facility, changes in market demand, supply disruptions, cost escalations, new market entries, sourcing constraints etc.,) and model the impact of these changes on your network cost and service levels.
- Network Optimization: Our solution optimizes total landed cost for a given probable scenario, including sourcing, manufacturing, warehousing and distribution legs.
Delivering Cost-Effective Measurable Outcomes
Our approach delivers measurable cost savings and improved operational efficiencies across your entire network.
- Optimal number, size and location of warehouses and manufacturing plants / lines leads to operational efficiencies and lean network.
- Reduced cost of network due to better utilization of resources.