Supply chain modelling using world leading software

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Supply Chain GuruTM

Supply Chain Guru® is a multiple time period modelling tool that encompasses network design, inventory optimisation and simulation.  It can help you make decisions regarding site selection and location for manufacturing and distribution facilities, which suppliers to use, transport modes, inventory location and customer serving methods.

 

Graphics

As well as providing detailed reports on sites, flows and costs, the powerful map-based graphics within Supply Chain Guru® allow you to understand exactly what is happening within a logistics network. The flow of goods and the cost to serve customers can be displayed at product level.

Cost Models

As well as providing detailed reports on sites, flows and costs, the powerful map-based graphics within Supply Chain GuruTM allow you to understand exactly what is happening within a logistics network. The flow of goods and the cost to serve customers can be displayed at product level.

Fixed Site Costs

●  fixed cost if open, possibly reflecting different property costs

●  fixed cost according to the level of throughput, to reflect different levels of production or materials handling technology

Variable Site Costs

●  cost per unit, possibly reflecting different labour rates

●  cost per unit according to the level of throughput, to reflect economies of scale

Lane Costs

●  cost per unit

●  cost per unit mile

●  cost per unit according to volume

●  cost per load, one way or two way

●  ferry/tunnel costs

●  rail or air freight tables

●  LTL or FTL rates tables

●  duty payments

 

Emissions Models

Emissions can be described either for sites and lanes, or

for particular products at sites and lanes, in the same

way as costs.

Emissions at plants can be used to illustrate the impact of

manufacturing and when applied to lanes will show the

impact of transport. As lanes can represent different

transport modes, the different levels of emissions

associated with air, sea and road freight can be modelled.

The system can be set up to:

●  calculate the emissions of the current supply chain

●  re-design the supply chain to minimise emissions

●  re-design the supply chain to minimise costs with a defined reduction in emissions

 

Production Modelling

Supply Chain Guru® has powerful capabilities to model production processes in detail. It can model:

• Work centres, resources and changeovers

• Detailed bills of materials

• Multiple time periods, with tactical pre-build production planning capabilities

 

Network Optimisation

Supply Chain Guru® contains a MILP solver, which gives a true mathematical optimisation of the problem presented to it.

In addition to the network definition and cost models, the solver also takes into account specific user-defined constraints, such as:

●  the capacities of sites and lanes, defined either as total flow or the flow of particular products

●  the minimum flow through sites and lanes, either in total or at product level

●  whether sites can receive supply from multiple sources or whether they must be single sourced

●  any limits to the number of sites, eg "open no fewer than 2 and no more than 4 warehouses"

●  the maximum emissions allowed

A Scenario Manager within Supply Chain Guru® allows the modeller to keep track of the many changes to data, cost models and settings that take place in a project.

 

Inventory Optimisation

After network optimisation, detailed flows can be computed and inventory optimisation used to set stock levels for the chosen stock-holding sites. This is potentially an sku level analysis which takes into account demand variability, supply lead time variability, safety stock pooling effects and service levels.

 

Simulation

The simulation module can then be used to evaluate the performance of the supply chain that you have just designed. It takes a year’s activity and runs it through the physical supply chain using replenishment rules and probabilities regarding variations in quantities ordered, timing of demand and lead times.  It reports on inventory, costs and service levels achieved.  Events such as a surprise shutdown can also be added.

 

Paragon

Delivery Costing

Technology

Logistech's paper on logistics network optimisation

LLamasoft website

Copyright © 2009-2010 Logistech Limited

Supply chain modelling using world leading software