Are your distribution and fulfillment facilities in the correct location? Do you need more or fewer locations to optimize supply chain service levels and operating costs? Are your current operations “best in class”? How should your transportation network be configured and structured? These strategic questions require in-depth analysis by experienced professionals. PLS Supply Chain Consulting provides leading edge experience and solutions to these strategic areas.
Supply Chain Network Optimization
Our supply chain professionals employ the latest, leading edge network optimization and proprietary modeling tools customized to each client’s specific network. This analysis includes generating feasible options to compare to the base case existing network. Measures such as transportation costs (inbound & outbound), operating expenses, discounted cash flow analysis are balanced vs. desired customer service levels. A proprietary analytics approach is applied to factor each above measure and qualitative factors to aid in senior management decision making.
- Supply Chain Network Optimization answers the following questions:
- How many facilities?
- Where should facilities be located?
- What services should each facility provide?
- What zones should each facility serve?
- What inventory is stored in each facility?
Site Selection and Economic Incentives
Site selection is the process of evaluating all available sites for a distribution facility. The first stage of selection ensures the sites meet a list of minimum requirements. Each feasible site is then visited to further evaluate the site’s ability to meet the actual needs for the planned facility. A list of finalists sites are then compared in detail to determine which sites provide the best possible solution. Criteria used to evaluate sites include labor availability, skill level of workforce, labor market wage rates, economic development incentives, parking requirements, utility rates, proximity to major transportation, dock requirements, ceiling height, and other physical facility characteristics.
Economic development incentives assessment and negotiation is conducted in coordination with Site Selection. Tax credits, employee screening, training assistance, tax abatement, and infrastructure improvements are only a portion of the available incentives. Our professional team investigates the hidden opportunities to significantly increase the incentives offered by competing states and municipalities.
Transportation Analysis And Management Services
Our transportation management services are designed to identify and capture those savings, and include:
PLS SCC offers a Transportation Practice Assessment service that utilizes our proprietary transportation practices database to review and compare a client’s transportation process with relevant industry best practices while identifying key gaps in practices or technology which are needed to improve performance.
Procurement services are also provided, allowing clients to obtain new freight rates by conducting a freight bid, using optimization technology to analyze a wide range of cost versus service objectives.
TMS Technology Assessment and Implementation Assistance services are provided for organizations that are interested in understanding how advanced technology can improve transportation performance. Typically, the service includes a transportation technology assessment, based on a structured methodology that compares current technology capability with transportation requirements, resulting in an analysis of critical gaps and recommendations. This is often followed with systems selection assistance and implementation support
Supply chain flows are constantly changing, resulting in continuous opportunities to optimize fleet patterns. PLS’ fleet modeling service utilizes optimization technology to analyze current fleet operations and identify potential savings opportunities through improved lane assignments, improved backhaul performance, or changes in delivery frequency. This service is particularly effective for fleets that have not been optimized within the last three years, and typically reveals savings opportunities of between 5% – 10%.
PLS professionals are highly experienced in assessing whether a third party logistics (3PL) organization should be considered for transportation or distribution functions. Our approach includes a highly structured process to simulate in-house vs. 3PL costs, RFI & RFP development, and proposal analysis & recommendations.