Supply Chain Optimisation

3D Simulation modeling technology has made significant advances creating supply chain optimisation opportunities.

supply chain optimisationSupply chain can represent up to 75% of your organisations total cost. This is quite significant in some organisations and places more focus on understanding how to identify, challenge and control supply chain costs. Experienced supply chain managers need the right tools, systems and support to implement change that will drive performance. As some organisations have been able to achieve significant improvements through productivity and efficiency gains by leveraging and integrating supply chain technologies, 3D simulation offers more opportunities than traditional analytical methods.

Supply chain optimisation is a phrase that is discussed quite frequently within the supply chain sector, though its full potential is still challenging to realise. Organisations have invested quite heavily in supply chain technologies such as ERP systems, WMS and CRM solutions over the last few decades. While some have made advances to improve supply chain performance, opportunities are ever present through further systems integration.

As the return on investment has been achieved through efficiency improvements and productivity gains, most organisations are still to recoup their total investment. Although the quality of the architecture has also enabled these supply chain systems to collaborate more seamlessly by managing and exchanging data, further opportunities for improvements through the application of 3D simulation remain to improve supply chain optimisation.

3D simulation offers benefits: Real time operational decision-making capability, forecast demand changes can be scenario based and run independently, resource and task scheduling becomes more agile and responsive to demand changes, projected inventory levels can be validated more easily and your supply chain operational costs are easier to identify and manage. A virtual simulation allows all of the stakeholders to be involved in the planning process and make better decisions for final production.

Supply chain optimisation using 3D simulation provides the opportunity to develop various scenarios from a range of model inputs such as cost, time and resources to make the simulation output as meaningful and realistic as possible. Each scenario is delivering your business a different value proposition that enables your supply chain to be more responsive to variability. Any system that can be defined using equations can effectively be simulated. In a dynamic simulation, behaviour changes are impacted by inputs over time, these changes are analysed and further improved upon by changing the simulation model. The objective is to minimise inefficiencies throughout the entire supply chain to strive for supply chain optimisation.

 

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