Sourcing Optimization

Premature purchasing decisions can be costly for a supply chain in regards to lead times, service levels, costs, and company income. Making right decisions when choosing suppliers implies the evaluation of alternatives in reliability and costs, and finding balanced supplier combinations to improve cost-effectiveness and mitigate risks.

The anyLogistix (ALX) sourcing planning and optimization software tool allows you to model your network and select suppliers based on experiments made with your supply chain sourcing simulation model.

Optimize External Supplier Sourcing

ALX uses scenario testing and optimization to give strategic sourcing analysts data to support supplier choice decisions. Analysts can use it to find the most profitable supplier combinations, while taking into account policies’ constraints and hedging risks. ALX can:

  • Evaluate suppliers based on bid, batch size, volume discounts, locations, variability in production lead time, defective goods’ probability, and more
  • Measure transportation lead times and costs, considering randomness
  • Test contingency scenarios, including supplier bankruptcy
  • Assess cases with increased or varying demand
  • Determine sourcing policies based on what-if scenarios (multiple or single source policies, adaptive sourcing, and more)

Select Internal Supply Policies

ALX can help users decide how to fulfill their internal demand at stores, warehouses, or manufacturing sites. Users can choose sourcing policies based on results of models representing their supply chains with the level of detail required for their problem. ALX can:

  • Determine suppliers and sourcing policies based on demand locations and the varying amounts
  • Decide if you need to open/expand/shut down a site
  • Determine where to build a new warehouse or a production facility to fulfill demand
  • Choose transportation means and policies based on costs and lead time variability

The ALX sourcing optimization software tool provides managers with more decision support data of better quality than traditional analytical supply chain tools. The ALX’s unique simulation modeling feature can:

  • Capture a supply chain in dynamics, taking into account time, randomness, and uncertainty
  • Unveil cause-and-effect dependencies in the system
  • Provide a toolset for modeling your specific business features without sacrificing preciseness
  • Equip managers with flexible what-if scenario testing
  • Visualize supply chain operations
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