Our Supply Chain Network Optimisation services help our clients achieve significant supply chain cost reduction and service level improvement by better aligning supply chain strategies to drive investment, operations, and competitive positioning. Our expert supply chain and logistics management consultants use supply chain network design modelling software to stimulate, optimise and achieve cost and service optimisation.

SUPPLY CHAIN NETWORK DESIGN

New World Business Solutions’ data intensive, fact based approach utilises best of breed supply chain technology and methods to produce an optimal end-to-end supply chain network design, based on balancing cost and service levels, from suppliers to customers. We review your inbound supply chain, distribution network, distribution channels and distribution centres, and help you to develop your supply chain strategy and distribution strategy. The supply chain software used for supply chain network optimisation includes JDA Supply Chain Strategist, Llamasoft Supply Chain Guru and Logility Supply Optimisation.

ACTIVITY
BASED COSTING

New World Business Solutions’ efficient Activity Based Costing services help companies to reduce and control their supply chain and logistics costs, operating costs, make correct pricing decisions and increase profitability. What is Activity Based Costing? Activity Based Costing is a cost management technique that is used to improve cashflow and business processes, eliminate unnecessary costs, establish accurate costing methods, improve total cost management and resource utilisation, increase productivity and create greater customer value.

SUPPLY CHAIN SEGMENTATION

Our Supply Chain Segmentation services help companies reduce complexity and balance operational efficiency with customer needs to improve profitability. What is supply chain segmentation? Supply chain segmentation increases our clients’ competitive advantage through the alignment of customer demand, distribution channels and supply chain responsiveness to optimise profit across each supply chain segment.

COST TO SERVE OPTIMISATION

Our supply chain Cost to Serve Optimisation services are targeted at achieving objective trade-off decision-making to reduce costs and identifying where to invest by shifting cost increases to the areas that create the greatest value. Cost to service analysis reveals excessive inventory costs, storage costs, transportation costs and procurement costs. Strategic cost reduction prepares an organisation for growth and frees up resources to fund business transformation and growth initiatives.
  • Distribution network costs higher than competitors, longer lead times and product availability issues
  • Number of inventory locations in the network
  • Location and roles of each inventory location
  • Storage capacity at each inventory location
  • Optimal transportation modes and lanes
  • Centralised or decentralised network to meet customer service goals
  • Expand, contract, move or close warehousing facilities
  • Impact of inventory levels by changing the number of distribution centres in the network
  • Network strategy deployment
  • Increased service levels and profits
  • Total supply chain cost reduction (transportation, manufacturing, inventory and raw material supply)
  • Maximised asset availability and minimised enterprise capital expense
  • Excessive infrastructure costs avoided
  • Optimised multi-plant production decisions i.e. where to source, produce and distribute
  • Operating cost savings up to 8-12%
  • Distribution network configured and aligned with your customer base to provide the best customer service at the lowest cost
  • Inaccurate costing method to effectively and efficiently manage business costs
  • Accounting for costs similar to the way production work is performed
  • Consumption of overhead costs
  • Unnecessary and non value adding products, activities and business processes increasing total costs
  • Resolve pricing of products or services that are excessive or incorrect
  • Accurate, detailed and up-to-date information on all activities and business processes, including supply chain processes, logistics processes and operational processes
  • Improved focus on total product costs within the four walls of the organisation
  • Identify inefficient supply chain, logistics and operational processes and improvement opportunities
  • Identify value added activities and non value added activities performed at business process or activity level
  • Provide more value to the continuous improvement of business processes
  • Increased productivity including better and more productive use of all resources
  • Align cost drivers to activities
  • Product and market combinations to achieve the optimal balance in costs and service
  • Supply chain requirements for each product and market segment
  • Align supply chain configuration around customers segments with similar supply chain requirements
  • Distribution channels impacted by demand variability due to lack of segmentation policies for customers and products
  • Understand the value customers receive from your supply chain
  • Identify optimal ways to deploy resources and investments
  • View supply chain opportunities and risks as products, markets and competitors evolve
  • Increased profitability across distribution channels and each supply chain segment
  • Reduced demand variability across the supply chain and distribution channels
  • Understand the relative profitability of various customer or product segments of the business
  • Determine customer segment profitability with current supply chain configuration and cost structures
  • Decide whether to stock and distribute products
  • Identify correct amount to charge to cover costs
  • Achieve accurate and detailed financial analysis of individual SKU’s and customers
  • Identify total cost of serving customers and cost of each product by customer
  • Optimise decisions whether or not to serve various customers and deliver various products
  • Reveal where to invest and shift cost increases to areas that create the greatest value