SUPPLY CHAIN NETWORK OPTIMIZATION

Slide Number 11
Section 1PriceSmart vs Domestic Warehouse Club Supply Chain Configurations2
Instigators for Supply Chain Network ReconfigurationBack in the day, supply chain network optimization was a once-in-a few years project developing supply chain designs with five to ten-year lifespans. Over time, the instigators, pace, and stakes of change make supply chain network optimization a business-critical on-going process and competitive differentiator. Instigating forces for change in supply chain network configuration fall into x major categories including (1) demographics, consumerism, and retailing; (2) material and product changes; (3) key rates and indices; (4) business growth and decline; (5) supply chain security, safety, and compliance; (6) transportation marketplace; (7) supply chain infrastructure; (8) origin-destination and trade lane upheaval; (9) supply chain operating philosophy3
Contents4
Supply Chain Network Optimization Formulation5
Contents6
Transport Time & Distance vs. the Number of DCs7
Contents8
Contents9
RightChain™ Nodes Methodology10
Supply Chain Scenario Development and Specification11
RightChain™ Nodes Optimization Methodology12
Section 1PriceSmart vs Domestic Warehouse Club Supply Chain Configurations13
Section 1PriceSmart vs Domestic Warehouse Club Supply Chain Configurations14
Carrier15
Carrier Corporation Service Parts Supply Chain Network Optimization16
Carrier CorporationComponent Part Supply Chain Network Scenarios17
Carrier CorporationComponent Part Supply Chain Network Scenarios18
Carrier Corporation Manufacturing Supply Chain Network Optimization19
Carrier Corporation Manufacturing Supply Chain Network Optimization20
Carrier Manufacturing Supply Chain ScenariosGreenfield vs. Existing Facilities Optimization21
Disney Parks and ResortsMerchandise, Food, Costumes, Parts22
RightChain™ Nodes Disney Global Supply Chain Optimization23
Oxxo24
RightChain™ Nodes Oxxo Mexico Network Optimization25
RightChain™ NodesNational and Mexico City Network Optimization26
Alshaya27
RightChain™ Nodes | Alshaya Scenario OptimizationsEMEA Supply Chain Network Optimization28
RightChain™ NodesGlobal Flow Path Optimization | Hub Scenarios29
RightChain™ Retail | AlshayaGlobal Flow Path Optimization | Ship Direct and Region DCs30
RightChain™ Retail | Alshaya Supply Chain Optimization Business Case31
adidas32
RightChain™ Retail | Sporting Apparel RetailerDC Location Optimization33
RightChain™ Retail| Global SportswearScenarios of Scenarios Optimization34
Nutrisystem35
RightChain™ Nodes Nutrisystem Supply Chain Optimization36
RightChain™ Transportation BP Fabrics and Fibers Regional Supply Chain Optimization37
RightChain™ Nodes Dell Europe Spares Logistics Network Optimization38
Ingham’s Urban Network Optimization39
PriceSmart vs. Costco Supply Chain Network Maps and Flows40
Target AustraliaIn conjunction with TMX, RightChain.nodes was employed as a part of Target/Kmart Australia’s supply chain transportation.41
CPG Supply Chain Network Scenario Evaluation42
RightChain™ NodesCPG Supply Chain Network Scenarios Summary Evaluation43
Scenario 0: Current NetworkLocations: DC1 = Bridgeview (20.5%), DC2 = Fordyce (29.5%), DC3 = Florence (21.2%), DC4 = Glenview (7.8%), DC5 = Latta (20.9%)Costs: Transportation = $3,174,000, Warehousing = $2,643,000, Logistics = $5,817,000Service: Same Day (27.1%), Next Day (86.8%), Two Day (94.6%)44
Scenario III: 3 DC Greenfield Supply Chain Network OptimizationLocations: DC1 = Columbus, OH (57.9%), DC2 = Memphis, TN (35.1%), DC3 = Sparks, NV (7.0%)Costs: Transportation = $3,357,246, Warehousing = $3,811,121, Logistics = $7,168,367Service: Same Day (6.4%), Next Day (86.9%), Two Day (100.0%)45
RightChain™ Nodes | Network Flow OptimizationScenario: Scenario Cost Summary46
RightChain™ Nodes | Network Flow Optimization | Sourcing SolutionScenario: Minimize Production Costs | Network Optimization Map47
RightChain™ Nodes | Network Flow Optimization | DC SolutionScenario: Minimize Production Costs | Network Flow Optimization Map48
RightChain™ Nodes | Network Flow Optimization | Sourcing SolutionScenario: Minimize Production Costs | Network Optimization Configuration49
RightChain™ Nodes | Network Flow Optimization | DC SolutionScenario: Minimize Production Costs | Optimal DC to Customer Flows50
RightChain™ Nodes | Network Flow Optimization | DC SolutionScenario: Minimize Production Costs | Optimal DC to Customer Flows51
RightChain.ai Data File InputRightChain.ai accepts multi-sheet Excel (.xlsx or .csv) files as input data files for upload. Files may be loaded from local or cloud sources. A data “preview” will appear once the file upload is complete. Please click the “Load” button at the bottom of the “Preview” screen to officially upload the data.52
RightChain.ai Data MappingOnce uploaded, RightChain.ai will work to match each column of data to a prescribed data type including “Number”, “Dimension”, “Date”, “Date&Time”, “Boolean”, and “Geographic”. Though mostly accurate, please double check and correct if needed the assignment of each data column to its correct data type. Any corrections may be made via the provided drop-down menu.53
RightChain.ai Data Interaction54
RightChain™ Nodes Solution MapThe RightChain™ Nodes Solution Map displays (1) the map of origins and/or destinations that comprise the optimization; (2) the optimal network locations based on the user’s selected number of locations; (3) the portion of locations servable within same-day, next day, and two-day service windows; and (4) the solution cost (in this case expressed in total pound-miles).55
RightChain™ SOLUTION PAGESRightChain™ SOLUTION PAGES are comprised of eight major sectors. Sector 1 is the Platform Bar allowing users to (a) move between RightChain.ai platforms, (b) displaying their username/icon, and (c) allowing users to “sign out” of the platform. Sector 2 allows users to move between (d) SOLUTION PAGES (all caps) and (e) Data Input Pages. Sector 3 includes the name of the current suite employed by the user (f), allows users to move between applications within the suite (g), and store, load, name, and save files (h). Sector 4 allows the user to define optimization scenarios utilizing Input Filters (h), Optimization Parameters (i), and Plot Controls (j). Sector 5 is the SOLUTION SECTOR. Sector 6 is a menu of solution presentation perspectives. Sector 7 is the solution visualization. Sector 8 provides optimization statistics for the solution at hand.56
RightChain™ SOLUTION PAGESRightChain™ SOLUTION PAGES are comprised of eight major sectors. Sector 1 is the Platform Bar allowing users to (a) move between RightChain.ai platforms, (b) displaying their username/icon, and (c) allowing users to “sign out” of the platform. Sector 2 allows users to move between (d) SOLUTION PAGES (all caps) and (e) Data Input Pages. Sector 3 includes the name of the current suite employed by the user (f), allows users to move between applications within the suite (g), and store, load, name, and save files (h). Sector 4 allows the user to define optimization scenarios utilizing Input Filters (h), Optimization Parameters (i), and Plot Controls (j). Sector 5 is the SOLUTION SECTOR. Sector 6 is a menu of solution presentation perspectives. Sector 7 is the solution visualization. Sector 8 provides optimization statistics for the solution at hand.57
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RightChain™ Nodes: What’s Included62
Section 1PriceSmart vs Domestic Warehouse Club Supply Chain Configurations63

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