Subscribe to our free, weekly email newsletter!



Network Optimization: Don’t Fall Into the “Single Best Answer” Trap

By Forte
September 13, 2012

Network optimization software solves the complex equations that help distribution center (DC) operators determine the configuration of their supply chain networks along with the optimal number, location, and size of these centers to effectively support their business models and growth projections.

Ultimately, the optimized network model is the one that generates the maximum amount of flexibility and cost savings while at least meeting, if not exceeding, required service level expectations. Sophisticated software analysis cannot do this alone. Often there are several future-state scenarios that project significant savings on paper, but may not be realistically attainable. A creative quantitative analyst and an experienced supply chain management practitioner are critical to the process of systematically identifying and evaluating which models are practical in terms of real-world logistics, i.e., the unique requirements a standard out-of-the-box software system cannot incorporate.

This paper will discuss the relative efficacy of standard network analytics software packages vis-á-vis the custom-configured optimization model with its inherent adaptability and flexibility.

image

 

Subscribe to Modern Materials Handling magazine

Subscribe today. It's FREE!
Find out what the world’s most innovative companies are doing to improve productivity in their plants and distribution centers.
Start your FREE subscription today!

Recent Entries

2015 programs established for five committees: Education, Marketing and Communications, Membership, Industry Affairs and Standards, and End User Advisory Committee.

With lower energy prices sparking domestic economic gains, coupled with solid manufacturing and industrial production activity, improving jobs numbers, and a GDP number that shows progress, there is much to be enthused about when it comes to the economy . But that enthusiasm needs to be tempered, because big headline themes seldom tell the full story.

Almost all companies today are aware of their labor or material costs... but what about energy consumption? It all comes down to having the energy data needed to determine what actions you must take to improve. The payoff is worth it, as insight into energy data allows you to make more valuable, relevant operating decisions.

Global uncertainty threatens resurgent business confidence, growth prospects.

Winners join association leadership amid record membership.



© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA