Although Supply Chain Management includes processes inclusive of procurement, production, Logistics and Transportation, it is within the Network and Transportation element that major costs and impacts to the service levels of a Supply Chain can be held. Decisions regarding location of suppliers, the order quantities, the holding levels of inventory, the service lead times, the production stages and more are necessary to design the appropriate Supply Chain Network. 

In an international marketplace like today, it is even more significant and critical to design networks that are effective, responsive yet economical. Within Network and Transportation Optimization services there are number of areas to consider such as Network Design itself which considers inputs on constraints and requirements then using both qualitative trade information and quantitative optimization tools produces recommendations on matters of the size, quantity, functions and locations of hubs and facilities. 

Cost to Serve is an important technique to garner the real cost involved to achieve the current service level. It is amazing how many companies do not have a grasp on the real cost to either serve respective clients or for particular products, which could lead to poor decisions for future efforts. Cost to serve provides real amazing insights. 

Transportation is the highest component of the logistics spend for most companies and this includes international and domestic activities. The use of Transport Modelling which optimizes the routes, equipment, lead times and inevitably determines the most optimal operating model is essential to control. Together with our professional benchmarking, these are powerful means to really obtain a dynamic and agile Transport network at the most competitive cost. With the aid of technology today, which we always consider in our optimization services, Networks and Transportation are the most important vehicle to drive cost savings and obtain value throughout your supply chain. 

Network Design & Optimization

In the wake of increasingly large,complicated, global supply chains, Network design & Continuous Network Diagnostics, plays a key role in controlling the cost of doing business. In a world of shrinking margins, controlling the cost of doing business can be the factor that puts your supply chain network optimization goals ahead of your competitors. It was once told that there are no greater savings achieved than through the proper use of Network Design and Optimization. Using Sporana’s own Optimization Software, Network design can many answers are addressed from the number and locations of DC’s, factories to the modes and service levels of transportation activities. Network Design can address further matters such as order profiles, trade factors, carbon footprints and inventory placement. 

Freight Costs Bench-marking

We all want to know if we are being charged market rates? Without knowing the answer to this question, we can never the opportunity cost or how much we are missing out on. To achieve a more cost-effective freight service, finance, procurement and logistics need professional bench-marking analysis and reference reports. Sporana’s Bench marking includes informational critical for all functions – comparative pricing that Procurement can use to support negotiations, Logistics receives the service effectiveness and capabilities to ensure that their requirements will be satisfied. Often, It is not the lowest price or cheapest offer, rather it is the most competitive price for the services and reliability required to effectively run the Logistics.

Contracting Support

Companies should always assess their contracts with Logistics Service Providers regularly. They should also know if the processes and costs are optimal within their own organization whilst questioning the reliability and services of their providers. Selecting service providers is a crucial decision and on that requires knowledge of ones own business but importantly of the service providers being considered. Sporana helps companies in the requirements and tender preparation work for outsourcing, the review of existing contracts and the improvement of services on existing or new contracts.

Transport Modelling

Transport modelling involves the optimization of domestic transport activities. Consideration of many parameters inclusive of service levels, delivery windows, trucks and equipment, carriers and costs, routes, geographies, cross docks, origin/delivery location assessment, journey management and much more. Ultimately, with Transport modelling you can make clear assessments on your service delivery model, ensure that you operating at the optimal level and save tremendous costs as a result. Fortunately our unique Optimization suite integrates Network and Transportation Optimization which leads to a better solution outcome overall