Supply Chain Volatility

The success of a company on enduring through a supply disruption is how to implement a new 'best plan' with agility and speed.  Many consumer products, particularly those in the food and household products segments, are critical for consumers to be able to continue purchasing.  If a company cannot quickly shift the plan to maintain items in stock, they risk lost sales and consumer backlash.

Supply plans are very complex, as they can be based on thousands of 'constraints' across the supply chain.  A constraint could be labor availability, or shipping regulations, or maximum order capacities, or various shelf life or temperature needs for materials.  When a plan needs to shift, the planner must be able to understand all the ramifications across the supply chain when all the constraints are considered.  The best case scenario is when all potential planning scenarios can be considered and scored against the KPIs that are most important to the company.

Agile and resilient supply chains can deliver new value:

In order to react to shifts in supply and demand and keep costs low, CPG brand manufacturers and retailers will need to analyze data to determine the most efficient ways to get product to consumers.  With all the constraints in the supply chain properly mapped in a supply chain 'virtual twin', CPG companies can react to any type of disruption.  Maintaining a value chain with agility to react to these demand shifts will deliver new value to consumers and differentiate themselves in the marketplace.  Solving these planning puzzles to drive efficiency in the value chain will be paramount to future success.   

A software solution from the 3DEXPERIENCE platform can run optimization scenarios based on any set of events or constraints to ensure the most efficient supply plan but ALSO it can measure that plan against the KPIs that are most important to your company.  In this way, smart planning decisions can be made in less time.