Leveraging Network Modelling for Optimal Supply Chain Configuration and Cost Evaluation

network modelling

VSC Smart Supply Chains employ advanced network modelling techniques to configure the optimum supply chain for their customers. By considering elements such as supplier strategy, manufacturing policies, warehousing and depot configuration, transportation policies, customer policies, and inventory levels, VSC Smart Supply Chains empower companies to make informed decisions that maximize savings without compromising service quality.

Cost Evaluation with Lead Times and Volume Demands

When factoring the lead times required for each supply chain stage, these systems accurately estimate the time and cost associated with moving goods from suppliers to end customers. Additionally, by analyzing volume demands, they identify opportunities for consolidation, route optimization, and load balancing, thereby reducing transportation costs. This evaluation enables organizations to make data-driven decisions regarding transportation modes, carrier selection, and order fulfilment strategies, resulting in cost savings and enhanced customer satisfaction.

Weekly, Monthly, and Annual Network Optimization

VSC Smart Supply Chains go beyond static modelling and incorporate a more granular level of sales, distribution, and transport optimization to stay agile and adaptive.

By conducting weekly, monthly, and annual assessments, these systems proactively identify opportunities for improvement and predict when changes should be implemented. Weekly optimization analyzes real-time data to address immediate challenges such as sudden shifts in demand or disruptions in supply.

Monthly optimization focuses on optimizing inventory levels, improving transportation efficiency, and fine-tuning manufacturing and warehousing policies.

Annual optimization evaluates the entire network structure, considering long-term trends, customer preferences, and business strategy to ensure the supply chain remains aligned with the organization’s goals.

Realizing Savings Potential without Compromise

Andreas Maritz, Strategic Growth Executive at VSC says, “By leveraging network modelling and continuous optimization, VSC Smart Supply Chains enable organizations to realize the full potential of cost savings without compromising service quality.”

Through network modelling VSC Smart Supply Chains Supplier strategies are able to assist companies to change their policies to produce optimal results.

Manufacturing policies are optimized to minimize lead times and reduce production costs. Warehouse and depot configurations are designed to enhance inventory management and order fulfillment. Transportation policies are adjusted to maximize efficiency and minimize costs. Customer policies are aligned with demand patterns and service level requirements. Moreover, inventory levels are optimized to minimize holding costs while maintaining adequate stock levels to meet customer demand.

“VSC Smart Supply Chains ensure continuous improvement and enable companies to adapt to changing market dynamics, ultimately enhancing their competitive advantage,” says Andreas.

If you would like more information or a demonstration of what VSC has to offer please contact Andreas Maritz, Strategic Growth Executive, on 072 049 5824 or andreas.maritz@vscsolutions.co.za



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