SUPPLY CHAIN NETWORK OPTIMIZATION

RightChain™ Retail | Alshaya Supply Chain Optimization Business Case

Min Case

Mod Case

Max Case

Optimizations

Impacts

$2,700,000

$4,650,000

$6,600,000

Labor, Occupancy

Facility Logistics Origin Logistics Regional Logistics Delivery Logistics TOTAL I

Slotting Optimization, Facing Optimization Layout Optimization, Staff Optimization

$1,543,000

$5,835,000

$3,807,000

Freight

Logistics Load Optimization, Transport Mode Optimization Logistics Lane Optimization Carrier/Terms Optimization

$3,850,000

$6,250,000

$8,700,000

Freight, Clearance, Duties

$2,130,000

$2,840,000

$3,550,000

15% to 25% of Fleet Expenses

Delivery Frequency Optimization Transport Fleet/Route Optimization

OPTIMIZATION AUTOMATION IBP

$10,223,000 $19,575,000 $22,657,000

$3,700,000

$4,200,000

$4,700,000

Labor, Occupancy Cycle Time

Information Handling Automation Material Handling Automation

Interleaving, Productivity Incentives, Accuracy Incentives, Dock/Yard Management Pallet ASRS, GTM Picking, Automated Sort, Vision Systems, Weigh Checking

$7,300,000

$8,450,000

$9,600,000

Labor, Occupancy Cycle Time

$21,233,000 $32,225,000 $36,957,000

TOTAL II

$60,000,000

$90,000,000

$120,000,000

Inventory Carrying Cost

20%, 30%, and 40% of total supply chain inventory at 30% ICR

Chain Plan Optimization Inventory Deployment Optimization

$20,000,000

$30,000,000

$40,000,000

Lost Sales Cost

20% to 40% of Lost Sales Cost Recovery

$101,233,500 $152,225,000 $196,957,000

TOTAL III

RightChain™ I Supply Chains. Solved.

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