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Supply Chain Design for 3PL Providers

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Create efficient Multi-Stop Vehicle Routes

Don’t let your logistics operation become a commodity. LLamasoft is the differentiator that allows you to model entire supply chain networks, incorporating alternate transportation options, and key variables such as cost, time, capacity, and delivery parameters.

  • Challenge legacy transportation networks
  • Determine lowest overall landed cost
  • Measure all constraints for most efficient routings
  • Identify efficient multi-stop vehicle routes while optimizing fleet size
  • Create multi-stop routes that include pickups and deliveries throughout the route to minimize costs
  • Identify efficient schedules while balancing shipments

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Supply Chain Design for 3PL Providers

As a third-party logistics (3PL) provider, you must be able to rapidly convince potential and current clients that you can transform their supply chains—delivering exceptional control and service at the lowest cost. A focus on continuous process improvement using strategic modeling can help you differentiate your service from other providers and establish long-term client relationships.

Supporting 3PL Business Development and Continuous Improvement

For nearly 15 years, LLamasoft has provided software and expertise to help large organizations design and significantly improve their end-to-end supply chain network operations. LLamasoft® Supply Chain Guru® enables companies to model, optimize and simulate supply chain and transportation network operations, leading to major improvements in cost, service, sustainability and risk mitigation.

LLamasoft modeling technology helps many of the world’s leading logistics companies leverage their supply chain design as a competitive advantage by enabling them to:

  • Rapidly create persuasive supply chain solution proposals for new business opportunities
  • Strengthen existing business by recommending methods for continuous improvement of clients’ supply chain operations
  • Correctly price and win new and existing consulting business
  • Integrate supply chain, transportation, and inventory optimization with a single tool

3PL Customer Examples

LLamasoft’s customers include some of the largest and most complex supply chains in the world. Today, eight of the Transport Topics Top 10 3PL’s are LLamasoft customers. Using LLamasoft technology, 3PL’s often identify 10 to 20 percent cost savings while maintaining or improving customer service levels through strategic supply chain design projects.

A leading provider of last-mile delivery service in North America wanted to gain a better understanding of where to locate new distribution centers across the U.S. and analyze how this would impact multi-stop routes to the end customer. They utilized LLamasoft’s supply chain network design solution to run both the network optimization study as well as the vehicle route optimization study. They used their analysis to identify key strategic distribution center locations and efficient multi-stop vehicle routes to find the optimal balance to minimize both facility and transportation costs.

“Our approach starts by identifying the needs of each client supply chain and then we provide them with optimal services and solutions to meet those requirements and provide competitive advantage. LLamasoft is able to help us deliver those solutions by providing a best-in-class program to optimize supply chain and logistics designs and simulate the results.”

– Global Vice President Supply Chain Design & Innovation, UTi Worldwide

Why Do 3PLs Choose LLamasoft?

LLamasoft occupies a unique place in the market as the only commercial software vendor dedicated solely to supply chain design. Some of LLamasoft’s key strengths are:

  • All-in-One Design Platform: The only network design application that integrates network, transportation, inventory, and simulation algorithms into a single tool to help 3PL companies manage the entire end-to-end supply chain. All the power of routing and scheduling software, plus transportation optimization in a single platform.
  • Mapping and Visualization: Geographic Information System (GIS) mapping allows users to view, edit and analyze key inputs and outputs visually. Built-in supply chain visualization reports and mapping overlays can reduce the time it takes to understand complex information.
  • Automatic Scenario Generation: Powerful multiple scenario analysis within a single model database offers the ability to adjust any combination of key cost or model elements to do sensitivity analysis, simulate impact on the supply chain over time, and make the optimal decisions.
  • Cloud Solving and Collaboration Tools: On-demand cloud solving to offload large and complex solving problems and generate faster results. Web-based centralized maintenance of all model data and outputs for internal and client collaboration.
  • Product Development: LLamasoft invests greater than 30 percent of annual revenue in research and has the largest dedicated development staff of both software developers and operations research scientists in the industry. We stay ahead of the industry so we can stay ahead of your competition.

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