Sourcing and product allocation

Decisions regarding sourcing a product or allocating it to plants and warehouses have major impact on the costs and quality of service. Thus, it is even more important to balance these contradictory targets.

Using Supply Chain Guru^® and our optimizing know how we can optimize sourcing decisions within network structures (several thousand SKU´s, suppliers, POS etc.).

To secure the transformation processes we can take into account non-linear aspects as well as the economies of scale, local or global specific market restrictions, variable cost aspects, changing input parameters like order structure etc. in quasi continuous time frame models.

The models can e. g. decide about the allocation to locations with very flexible equipment vs. highly automated mass production sites. Complexity costs (as well as many more cost constraints and terms) assure that any location gets the appropriate number of products and suitable production quantities.