Archive for supply chain network design

The Business Benefits of “Going Green” with Your Supply Chain

In the not too distant past, when confronted with a decision between investing in sustainability efforts versus corporate survivability, the choice was clear for most organizations. However, as the economic recovery has gained strength and consumers have expressed a desire for corporations to focus on these efforts, green supply chain practices are emerging again. Organizations not only view themselves as being able to “afford” investing resources in “greening” their operations but also see that these […]

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The Supply Chain Design Movement and How It’s Driving Measurable Improvements for Large Businesses

Why Is Supply Chain Design Important? There’s been a fundamental change in the way global manufacturers and distributers operate. The modern supply chain is an increasingly complex and volatile network making the impacts of change harder to determine and increasing the risks involved with being unprepared. The supply chain is a huge opportunity for competitive advantage—and risk. Supply chain design is now a must-have capability for businesses to keep up with the pace of change […]

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After Brexit: It’s Time to Model Your Supply Chain

In June the citizens of the United Kingdom voted to leave the European Union. As a result, the political system is in a state of chaos as the various parties jockey for control. Some of the changes expected from a Brexit (i.e. British Exit) vote have already happened. A week from the referendum, the pound was down 10 percent against the US dollar and eight percent against the Euro. The UK Chancellor has said there […]

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A Guide to the Next-Step Network Modeling Process

Now more so than ever, companies understand the tremendous impact that logistics and transportation can have on their overall business performance and are taking meaningful strides to optimize their operations. And a next-step networking modeling project provides a systematic approach to driving meaningful change throughout the supply chain. Network modeling provides a decision support platform for many critical aspects of supply chain strategy and is performed in order to design an efficient and lean distribution […]

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Incorporating Taxes and Duties in Supply Chain Design

There are numerous ways to integrate tax and duties in supply chain design. Here are a few ways to consider both logistics and tax considerations in a holistic view for the best overall design decisions. The supply chain is core to how your business is run and its costs, profit and growth. With the increasing globalization of business, variable taxes and duties across trading borders have a huge impact on overall cost, supplier sourcing, manufacturing […]

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Use Modeling Technology to Design and Test Omni-Channel Strategy

Redesigning overall retail strategy through the eyes of the consumer with a seamless shopping experience at the core, necessitates an ‘outside-in’ supply chain perspective and often big adjustments to supply chain operations. Retailers are turning to supply chain modeling as a way to effectively design and test omni-channel fulfillment strategies prior to execution. Modeling can be used to evaluate the numerous network and policy changes to an organization’s supply chain that may be required for […]

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Using Inventory Modeling to Develop a Holistic Inventory Strategy

Top supply chain officers across the industry were recently surveyed¹ on their biggest barriers to effective inventory management. Their top two responses were “Can’t Optimize Network Holistically” and “Demand Volatility”. It’s no wonder: often inventory placement decisions are made in a vacuum without considering the end-to-end supply chain impact. In addition, product demand has become more volatile and hard to predict over time. How do you predict how much inventory to build when you can’t […]

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The Missing Supply Chain Perspective in Packaging Decisions

About a decade ago, I visited a packaging facility operated by a contract packaging provider. The facility would receive bulk quantities of goods from a leading consumer goods manufacturer and package them into different clamshell units (10-count, 30-count, 50-count, etc.) and then into cartons. The cartons were then transported just a few hundred feet through a tunnel to an adjoining building that was operated by a 3PL, where the products were stored and later shipped […]

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Guest Commentary: Do You Have a Supply Chain Design Center of Excellence? Your Competitors Do.

Not too long ago, companies considered supply chain design as a project to conduct once every three to five years—if at all. It was also uncommon for companies to do such analysis themselves, often hiring third-party firms to do one-off studies. Today, there is a strong and ever-increasing trend of companies making supply chain design a core business function, and using this competency as a competitive weapon for their business. They are using modeling technology […]

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Guest Commentary: Transportation Network Design: Are You Optimizing an Inefficient Supply Chain?

Many supply chains are the product of history, put together over time as a company grows with expanding product lines and emerging markets. In larger successful companies, supply chains can grow to enormous complexity, encompassing billions of dollars in assets and deeply ingrained processes. If an organization continues to gain market share, acquires other companies and strengthens its brands, you might assume that its supply chain and transportation network are functioning pretty well, right? But […]

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