Supply Chain Modelling for Logistics Service Providers
Barloworld Supply Chain Software offers strategic network design
and optimization software and supply chain consulting services to
leading organisations in all the major markets of the world. The
flexibility of the CAST Aurora supply chain network modelling
software and its ease of use permits its application across all
industry sectors and geographies, where there is supply chain
complexity that may include multi-tier manufacturing, warehousing
and transportation options.
Global and regional Logistics Service Providers use CAST Aurora
supply chain planning software to support their prospective
business development and solution design activities, as well as to
drive savings out of their existing clients supply chains in
Europe, North & South America, Asia and Africa. 7 out of 8 of
the largest contract logistics companies in Europe and 5 out of 10
in the US have access to the CAST software. These include: DHL,
CEVA, Caterpillar Logistics, DB Schenker and Damco.
Logistics Providers use CAST Aurora to indicate where a
warehouse (or multiple warehouses) should be best located for their
prospective customer's demand profile and to quantify what service
level each warehouse configuration would provide. Not only does
CAST Aurora help Logistics Providers to design the optimum network
configuration but it also permits the costing and sizing of the
appropriate distribution fleet required to deliver that demand.
Subsequently, CAST Aurora enables the rapid, development of a
quantitative strategic analysis that can be integrated into a
business proposal for their prospective clients. Logistics
providers also use CAST to consider more tactical analysis, such as
competing a dedicated fleet against common carrier rates, or
competing transportation modes such as truck versus rail. Logistics
Providers are following their retailing and manufacturing customers
into new developing and global markets and are increasingly being
tasked with providing an integrated global logistics platform to
support expansion and meet the service expectations in those
markets. CAST permits them to evaluate, design and implement the
most appropriate supply chain strategy for that market and service
requirement. Subsequently, Barloworld Supply Chain Software
provides local support to global and regional logistics providers
in North America, Europe & Asia.
CAST Software Creates Savings - Example 1
Barloworld Supply Chain Software recently supported a Logistics
Service Provider in France who was competing for the distribution
business of a major white goods (fridges, freezers, ovens) and
brown goods (CD Players, TVs, Cameras) manufacturer. CAST software
was firstly used to map and visualise the historical demand across
France. CAST software then found the optimal single DC and 2 DC
locations based on minimized kgs per mile delivered across the road
network and calculated the cumulative transport service level for
each network configuration.
This was conducted for both full line DC (stocking White &
Brown goods) and single line DC (White goods only or Brown goods
only) options. These 6 DC & stocking configuration options were
compared against the current 2 DC configuration utilized by the
client and potential kg per mile savings of between 6.5% and 44%
CAST Software Wins Contracts - Example 2
CEVA Logistics is a leading global logistics company which
designs, implements and operates complex supply chain solutions on
a national, regional or global scale for medium to large
enterprises. With 38,000 dedicated professionals they manage over 7
million square meters of warehouse space and operate an extensive
global network with facilities in 26 countries worldwide.
The evaluation of different supply chain strategies formed a key
part of the Barloworld Supply Chain Software proposal for CEVA's
Business Development operations in Australia. CAST provided the
strategic supply chain analysis required for CEVA's proposal to
Telstra, Australia's largest telecommunications company.
Historically, Telstra had operated their own warehouses in 7 cities
and CEVA used CAST to evaluate several ways of rationalising and
centralising the stock holding to deliver significant cost savings.
The result of the proposal was a major new CEVA contract for
Telstra's warehousing and distribution operations - thanks to the
strategic network model created by CAST and the resulting proposal
delivered by CEVA.
"The use of CAST helped us to arrive at a better understanding
of our customer's business, while evaluating many options for
potential savings. Overall, we feel it made our bid stronger."
Senior Business Analyst, CEVA Logistics
"Supply chain design complexity is increasing as the
market-place moves towards globalisation. Leading-edge decision
support tools are critical to DHL's strategy, and CAST is a key
part of our design portfolio. "
Solutions Design Director, DHL Supply Chain