Designing your supply chain to align with your business strategy is a key driver of long term profitability. The number, location, and capacities of your plants, production lines, distribution centers, cross-docks, etc., form the backbone of your supply chain.
A lot of variables such as manufacturing costs and capabilities, transportation modes and costs, warehousing costs and capacities, taxes, duties, service constraints, etc., need to be considered to arrive at the optimal supply chain configuration, which is not trivial.
For example, for a company with 5 DCs and 200 customers there are 5,200 combinations of assigning customers to DCs. You need a powerful optimization engine that can look at a multitude of inputs and come up with the optimal solution quickly.
LogicTools Solution
LogicNet Plus is a powerful and yet, easyto- use strategic network design product which combines a state-of-the-art proprietary solver with a friendly mapping interface.
At the core of the application is a proprietary optimization solver which quickly analyzes various tradeoffs between production costs, warehousing costs, transportation costs and service requirements to arrive at the best solution.
Solutions from the model can be viewed, compared and easily exported to tables and graphs for presentations and further analysis.
Implementation and ROI
LogicNet Plus is off-the shelf and easy-to-use software. Training and initial results can be completed in 8-10 weeks with a total project timeline of about 90 days. Typically, companies can realize an ROI of 25x.
5-15% reduction in network cost
60-90 day implementation cycle
Leverages existing IT infrastructure. |
