In the constantly changing world of logistics and manufacturing, “what if” Analysis is the key component of finding the optimized supply chain. Supply Chain Leaders are constantly exploring options that currently do not exist. They need to know what a change could and should look like. What if analysis gives them a window into the future. Leaders want to consider what would happen if they….
- Add another distribution point
- Consolidate production into one site
- Change up the supplier mix
- Re-route via a different port
- The list goes on
The shortcoming of enterprise and planning systems is their link to current operations. They are very good at quantifying what happened and are “OK” at quantifying what might happen if a supply chain operates in the same way into the next period. They are very bad at planning their own evolution into a different supply chain. What if analysis requires the rapid addition of new logistics routes, operations in new regions, and the flexibility to make these models consistent and believable.
Logility is a leader in doing exactly this. What if analysis was at the core of our functional specifications when we laid down the framework for our platform, network design optimization. We have explored the best practices and methods to quantify the costs and lead times of new lanes, new ports, new sites. We also look at what if questions that are more subtle: What if load sizes are changed, delivery frequencies increased or decreased, inventory held at one location or another.