Network Design

Network Design

A key driver of cost and service in any supply chain is the location of stocking nodes in relation to manufacturing sites, suppliers and customers. There are many centralised and decentralised network options, but the optimal solution will be dependent on many variables including:

  • Product/freight profiles 
  • Customer ordering habits, geography and service level expectations 
  • Supplier locations (domestic/international) and ports of entry 
  • Warehouse locations and size 
  • Transport options and cost 

Understanding how these different elements influence warehouse and transport costs, inventory levels and service lead times is critical to maximising the bottom line.


Services 

Our comprehensive knowledge of international and domestic freight coupled with our understanding of warehousing capability and costs allows us to assist your business by:

  • Conducting an audit of your current network configuration 
  • Modelling a variety of scenarios to determine the cost-to-serve of each option 
  • Developing a transition plan to migrate to the agreed solution 
  • Managing the transition project to completion 


Results

An optimised network will typically deliver:

  • Reduced transport costs (net reduction of international and domestic freight) 
  • Reduced warehousing costs (dependent on the desired customer service levels)
  • Improved customer service levels


Delivering Results

Prological provides unbiased advice providing our clients with customised and sustainable, best-practice solutions.

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