Supply Chain Network Design

Supply Chain Network Design: Applying Optimization and Analytics to the Global Supply Chain (FT Press Operations Management)

Using strategic supply chain network design, companies can achieve dramatic savings from their supply chains. Now, experts at IBM and Northwestern University have brought together both the rigorous principles and the practical applications you need to master. You’ll learn how to use supply chain network design to select the right number, location, territory, and size of warehouses, plants, and production lines; and optimize the flow of all products through your supply chain even if extends around the globe. The authors present better ways to decide what to manufacture internally, where to make these products, which products to outsource, and which suppliers to use. They guide you in more effectively managing tradeoffs such as cost vs. service level, improving operational decision-making by integrating analytics throughout supply chain management; and re-optimizing regularly for even greater savings. Supply Chain Network Design combines best practices, the latest methods in optimization and analytics, and cutting-edge case studies: everything you need to maximize the value of supply chain network design. For all supply chain executives, managers, strategists, and analysts; and for all students, instructors, and researchers in advanced supply chain management and/or logistics courses.

Table of Contents

Part I: Introduction and Basic Building Blocks
1 The Value of Supply Chain Network Design
2 Intuition Building with Center of Gravity Models
3 Locating Facilities Using a Distance-Based Approach
4 Alternative Service Levels and Sensitivity Analysis
5 Adding Capacity to the Model

Part II: Adding Costs to Two-Echelon Supply Chains
6 Adding Outbound Transportation to the Model
7 Introducing Facility Fixed and Variable Costs
8 Baselines and Optimal Baselines

Part III: Advanced Modeling and Expanding to Multiple Echelons
9 Three-Echelon Supply Chain Modeling
10 Adding Multiple Products and Multisite Production Sourcing
11 Multi-Objective Optimization

Part IV: How to Get Industrial-Strength Results
12 The Art of Modeling
13 Data Aggregation in Network Design
14 Creating a Group and Running a Project

Part V: Case Study Wrap Up
15 Case Study: JPMS Chemicals Case Study