Effective manufacturing strategy

Our customer operates within a highly dynamic business environment and requires visibility for an effective manufacturing strategy.

Assignment

Our customer operates within a highly dynamic business environment and requires visibility for an effective manufacturing strategy.

Currently the customer does not have the end-to-end view to anticipate quickly on changes in the supply chain and to provide answers on:

  • How to optimize capacity within the current footprint
  • How to act on duties and tariffs adjustments within their Sourcing Strategy
  • How to balance lead times, costs and flexibility

Project summary

The nature of the business is characterized by a highly unpredictable demand.

Our customer has 4 manufacturing sites to feed their global supply chain. As the sourcing costs are a substantial part of the total costs, it’s important to balancing production capacity.

An optimized manufacturing plan will minimize risks and investments and has a direct impact on the business result.

Our approach

Our customer was in need for a Decision Support System to accommodate near time decision making across the supply chain. As their current systems were not designed for fast & smart decision making, we have helped to build a so-called Digital Twin model.

Firstly, we simplified the current complex supply chain by designing a digital copy of their supply chain on an aggregated level (at Product Group level). Design assumptions were made to support a simplified process of decision making and layered this on top of the running supply chain processes.

Customer’s key business sensitivities (like: sourcing costs, custom and duty impacts, labour costs, technology growth and volume growth) were defined as input parameters in order to adjust these in case of change.

Establishing a digital twin of your supply chain to accommodate near time decision making across the supply chain

Result

Our Digital Twin model supports Fast and Smart Decision Making, when:

  • Custom and duty adjustments impact the supply chain
  • Constraints require balancing of Lead times, Capacity, Costs and Flexibility
  • A holistic end-to-end supply chain view is required for their manufacturing strategy