Modeling and Simulation
Planning for market expansion can be challenging. You need to reduce transportation expenses without sacrificing customer service. The obvious solution is to shorten the distance between you and your customers, but you can’t operate unlimited distribution centers.
Balancing the number of distribution centers with high transportation costs requires expertise in narrowing down site options before delving into the optimization model. That’s where we come in.
Our comprehensive approach involves collaborating with you to determine the most effective configuration of distribution facilities. We consider all factors: location, size, geographic coverage, product mix, service, and cost trade-offs. We go beyond typical network design by examining IT and facility infrastructure and considering the impact of strategic decisions on your technology stack and equipment choice. We will develop a roadmap across all workstreams to identify the steps required to achieve your goals.
Modeling and Simulation Process
We employ Greenfield Analysis (GFA) to outline your strategic supply chain network design plan. Below are the best reasons to consider implementing GFA into your supply chain network design workflow:
- Efficiency and cost reduction: Minimize transportation costs without sacrificing efficiency or customer satisfaction.
- Reduced lead times: Identify locations to run more efficiently and with shorter lead times.
- Better customer service: Serving customers quickly and efficiently, which improves customer service.
- Evaluate growth opportunities: Vet opportunities for expansion and capital expenditures.
- Better risk management: Locations that are less susceptible to supply chain disruptions like extreme weather events or exploring what-if scenarios for various demand and supply situations.
