supply chain network design · an instant assessment of nationwide distribution including only...

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Copyright © 2019 Logistix Solutions LLC. All Right Reserved. SUPPLY CHAIN NETWORK DESIGN An Instant Assessment of Nationwide Distribution including only Domestic Suppliers Logix On-Demand is a free service that allows you to compare your distribution network to the ‘Optimum’ network using Logistix Solutions’ Logix Supply Chain Optimization software. This assessment is an approximation only. A complete network design would require additional input and refinements. Contact [email protected] for a free comparison using your current distribution center locations. ___________ … _____________ LOGISTIX SOLUTIONS IS ONE OF THE LEADING PROVIDERS OF ON-DEMAND SUPPLY CHAIN OPTIMIZATION SOLUTIONS. LOGIX SOFTWARE IS USED BY FORTUNE 500 COMPANIES, THIRD PARTY LOGISTICS PROVIDERS, CONSULTANTS AND FAST- GROWING ENTERPRISES WORLDWIDE TO OPTIMIZE THEIR DISTRIBUTION NETWORKS FOR OPTIMUM PERFORMANCE, SERVICE AND COST.

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  • Copyright © 2019 Logistix Solutions LLC. All Right Reserved.

    SUPPLY CHAIN NETWORK DESIGN An Instant Assessment of

    Nationwide Distribution including

    only Domestic Suppliers

    Logix On-Demand is a free service that

    allows you to compare your distribution

    network to the ‘Optimum’ network using

    Logistix Solutions’ Logix Supply Chain

    Optimization software. This assessment is

    an approximation only. A complete network

    design would require additional input and

    refinements.

    Contact [email protected] for a free comparison using your current distribution center locations.

    ___________ … _____________

    LOGISTIX SOLUTIONS IS ONE OF THE LEADING PROVIDERS OF ON-DEMAND SUPPLY CHAIN OPTIMIZATION SOLUTIONS. LOGIX SOFTWARE IS USED BY FORTUNE 500 COMPANIES, THIRD PARTY LOGISTICS PROVIDERS, CONSULTANTS AND FAST-GROWING ENTERPRISES WORLDWIDE TO OPTIMIZE THEIR DISTRIBUTION NETWORKS FOR OPTIMUM PERFORMANCE, SERVICE AND COST.

  • Copyright © 2019 Logistix Solutions LLC. All Right Reserved.

    Assessment Model

    Nationwide Distribution to

    customers located throughout

    the United States and supply

    from Domestic locations only.

    Suppliers

    Candidate DCs

    Customers

    Logix optimally selects the optimum combination of distribution centers from among 50 of the most widely used locations in the United States using average US based transportation rates and wages for each State. Demand data is represented by population data for all 3-Digit Zip Codes in the United States.

    Single Site Solution

    Indianapolis IN

    Inbound Cost: $5,803,585

    Outbound Cost: $29,908,673

    Warehousing Cost: $2,223,355

    Total Cost: $37,935,613

    Unique Proximity Radar View Logix pinpoints the exact optimum location with a potential for an additional reduction in cost located in Bloomington Indiana. The potential reduction in cost is less than 0.5% (indicated by 0% or a relatively flat cost difference up to 200 miles from Indianapolis IN). The red percentages show a potential increase in cost in 50-mile increments.

  • Copyright © 2019 Logistix Solutions LLC. All Right Reserved.

    Two Site Solution

    Lexington, KY and

    Reno, NV

    Inbound Cost: $7,197,052

    Outbound Cost: $18,501,781

    Warehousing Cost: $2,293,807

    Total Cost: $27,992,640

    Predictive Analytics

    ProLogix’ Predictive Analytics pinpoints each of your supply chain problem areas including a comparison of average vs site specific cost and service for each customer location. The transportation cost for Salt Lake City UT distributed from Reno NV is critically above average, shown in red in this example, whereas the service level, shown in green is slightly better than average.

    Two Site Proximity Solution

    Logix Proximity Solution

    Exact site locations in:

    Carson City NV 75 mi S of Reno NV

    Aberdeen OH 45 mi NE of Lexington, KY

    Total Cost: $27,788,694

  • Copyright © 2019 Logistix Solutions LLC. All Right Reserved.

    Three Site Solution

    Nashville TN,

    Allentown PA and

    Fullerton CA

    Inbound Cost: $11,550,629

    Outbound Cost: $14,110,569

    Warehousing Cost: $2,487,024

    Total Cost: $28,148,222

    Charts, Analytics and Metrics

    Complete the picture showing

    potential trouble spots, capacity issues, long term trends, best and worst case service and cost and areas for potential improvement.

    Number of DCs vs Cost

    The optimum number and

    location of Distribution Centers

    is six (6) sites if each DC has a

    fixed cost of $1MM per year.

    Logix can also incorporate

    pooling facilities, cross docks,

    inventory costs, green house

    gas emissions, greenfield,

    DC capacities and other factors

    in its optimum calculations.

    Nationwide Distribution / Domestic Supply

    1 2 3 4 5 6 7 8

    Logix Optimum Distribution Indianapolis IN Reno NV Fullerton CA Fresno CA Reno NV Los Angeles CA Los Angeles CA Fullerton CA

    Locations Lexington KY Allentown PA Allentown PA Allentown PA Allentown PA Allentown PA Allentown PA

    Nashville TN Chicago IL Chicago IL Chicago IL Chicago IL Chicago IL

    Atlanta GA Atlanta GA Atlanta GA Atlanta GA Atlanta GA

    Dallas TX Dallas TX Dallas TX Dallas TX

    Portland OR Portland OR Portland OR

    Lakewood CO Lakewood CO

    Sacramento CA

    Total Cost $37,935,613 $27,992,640 $28,148,222 $21,882,168 $19,758,659 $18,663,203 $18,075,331 $17,581,594

    Total Cost w/Fixed Whse $1M $38,935,613 $29,992,640 $31,148,222 $25,882,168 $24,758,659 $24,663,203 $25,075,331 $25,581,594

    Next Day Svc 33% 52% 70% 77% 89% 93% 96% 97%

    $0

    $10,000,000

    $20,000,000

    $30,000,000

    $40,000,000

    $50,000,000

    1 2 3 4 5 6 7 8

    Number of Distribution Center Locations vs Total Cost

  • Copyright © 2019 Logistix Solutions LLC. All Right Reserved.

    Free Assessment of Your Distribution Network

    For a free assessment of your distribution network compared to this model supply chain, contact [email protected]. Just tell us the location of your distribution centers and we’ll send you a free analysis and comparison via email. Here’s an example of what you’d receive showing a side by side comparison of your distribution network and the ‘optimum’ solution if your distribution centers are located in Indianapolis and Los Angeles.

    Example of “Your Network”

    Indianapolis IN and

    Los Angeles, CA

    Inbound Cost: $7,197,990

    Outbound Cost: $18,881,696

    Warehousing Cost: $2,469,988

    Total Cost: $28,549,674

    Two Site Optimum Solution

    Lexington, KY and

    Reno, NV

    Inbound Cost: $7,197,052

    Outbound Cost: $18,501,781

    Warehousing Cost: $2,293,807

    Total Cost: $27,992,640

    Savings Potential: $557,034

    If you’d like to add more details or make further refinements to the assessment model, download the Logix Supply Chain Optimization and Distribution Network Design software and we’ll help you set up your supply chain model.

    Contact [email protected] for a free demo or for a subscription to Logix or call us at 571 426 5951. You can also visit www.logistixsolutions.com for more information.

    mailto:[email protected]:[email protected]://www.logistixsolutions.com/