Transportation Network Design

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

“Not only does Transportation Guru integrate network optimization and vehicle route optimization, but it will also simplify our data input and output analysis, enabling us to quickly identify opportunities for freight savings in our supply chain.”
— David Raymond, Vice President of Operations Transformation, Wayfair

The system will also help companies determine the optimal number of transportation assets and containers, and where these assets should be positioned.

Using Transportation Guru, designers and analysts have the tools to:

  • Challenge legacy transportation networks
  • Determine lowest overall landed cost
  • Identify optimal mode mix
  • Measure all constraints for most efficient routings
  • Prove optimal DC-to-customer assignments
  • Evaluate network footprint and greenfield locations

Transportation route optimization can be done alone or in conjunction with either optimization or simulation. Using advanced algorithms, transportation routes are defined to minimize cost of inbound or outbound shipments, while considering realistic cost and constraint structures. This helps answer the question, “what happens to transportation routes when the network design is changed?”

The backhaul optimization technology in Transportation Guru identifies the most efficient inbound pick-ups based on the last stop of the outbound route in order to minimize the overall route cost by minimizing the time and distance trucks are driven empty.

Using transportation route simulation, analysts can help emulate routing strategies and test new strategies to predict actual costs and service levels. Optimal daily, weekly, monthly or quarterly plans can be created to set inventory levels, schedule production and to define distribution routing. Simulation can also be used to validate the plan before implementation.