Supply Chain Omni-Channel Fulfillment Software and Tools

Supply chain modeling helps retailers evaluate supply chain changes required to support an omni-channel strategy and predict performance

Leading retailers are utilizing supply chain modeling as a way to effectively design and test omni-channel distribution strategies prior to execution. Modeling can be used to evaluate the numerous network and policy changes to an organization’s supply chain that may be required for an omni-channel strategy, as well as understand cost, service and margin. Supply chain design is a valuable tool to help retailers best leverage all available distribution assets to fulfill orders across channels.

Design and Test Omni-Channel Retail Supply Chain Strategy

Supply chain design gives you the ability to test alternate omni-channel network configurations and predict resulting performance—before implementing in the real world. Use LLamasoft supply chain optimization and simulation platform to evaluate omni-channel:

Transportation

Transportation optimization enables users to model their entire supply chain network, incorporating alternate transportation options and key variables such as cost, time, capacity and delivery parameters. You can identify an optimal transportation plan based on the total costs and service constraints.

Service

Modeling enables you to identify the optimal service/cost scenarios and the array of trade-o points in-between, then utilize simulation to test performance of alternate service scenarios.

Supply Chain Network Structure

Spreadsheet-based calculations and boardroom discussions alone can no longer accommodate the huge volume of data and complex questions of global retailers. Supply chain design technology enables businesses to build digital models of the end-to-end supply chain to evaluate and compare dozens of scenarios side-by-side and test them under real-world variability for better decisions around site selection and product flows.

Inventory Balancing

Omni-channel fulfillment impacts the placement of inventory and the overall replenishment process from store or warehouse to the customer. If inventory can be allocated to customers at the latter stages of receipt, either at the port or DC, this can provide flexibility to serve volatile demand across channels. While variable costs at the DC may increase, the overall inventory costs may be reduced by providing more pooling across channels. Retailers must also consider demand variability based on promotions and seasonality when building inventory policies as part of an omni-channel strategy.

Supply Chain Design Technology Advancements to Support Omni-Channel Retailing

Only LLamasoft offers a blend of modeling technologies to meet the complex omni-channel questions, such as:

  • Designing a Network to Support an Omni-Channel Fulfillment Strategy

    With significant growth expected in the coming years from online channels, a large department store chain used network optimization to build an omni-channel fulfillment strategy.

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Four Ways to Use Supply Chain Modeling to Support an Omni-Channel Strategy

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