SUPPLY CHAIN NETWORK OPTIMIZATION

Discover Key Areas That Can Be Drastically Improved

As the supply chain continuously changes, your business will need to be agile and able to rapidly respond. As your business grows, so do your operational processes involving transportation, shipping, and receiving. However, your warehousing, transportation, and inventory costs are oftentimes not reflected in this. With our experience, software, and data-backed processes, our team will analyze your existing operations through transportation, capacity, and inventory modeling—comparing operating expense and capital investment to design your optimized network.

You Will Discover the Following

01

How many facilities are required?

02

Where should my facilities be located?

03

What services should each facility provide?

04

What locations should each facility serve?

05

What products are in each facility?

The Process

Scheduling & Orientation

The project begins with a Project Orientation Meeting to establish timelines, milestones, and key decision points. During this meeting, we assign team members, define roles for both Hy-Tek Strategic Services team and our customer, while also scheduling weekly update calls. The outcome is a comprehensive project schedule detailing every step from start to completion.

Data Collection & Validation

We collect and analyze supply chain data including workload, distribution, inventory, and transportation costs to establish a clear understanding of the current network. Our team conducts site visits and stakeholder interviews to validate findings and set parameters for future configurations that reduce costs. This effort results in a detailed “current state” baseline, supported by historical performance, growth forecasts, and service level metrics.

Current State Network Model Development

After validating the collected data, we build a detailed supply chain network model using Logility’s industry-leading Network Design Optimization (NDO) tool. This model establishes a “current state” baseline, projecting freight and transportation costs, operating expenses, capacity requirements, and service levels. The result is a comprehensive view of your existing network, providing the foundation for strategic optimization.

The Future State Network Scenarios

Our Strategic Services team collaborates with you to design multiple future-state supply chain network options. Each option is fully detailed with narratives, graphics, and key parameters such as service levels, transportation flows, and space requirements. Scenarios range from modified current state to optimized models focused on highest service, lowest cost, or balanced performance.

Scenarios Modeling & Analysis

Each future-state scenario is modeled and analyzed across transportation costs, operating expenses, capacity, capital investment, and service levels for a 5- to 10-year horizon. Using advanced tools like Logility NDO and Hy-Tek’s proprietary models, we project costs, capacity needs, and service performance while calculating key financial metrics and sustainability impacts. This comprehensive analysis ensures every option is evaluated for cost efficiency, service goals, and long-term viability.

Recommendation Development

Future-state scenarios are compared against each other and the current network using key criteria such as transportation costs, operating expenses, service levels, and capital investment. We analyze financial metrics like NPV, cost per unit, and migration costs, along with qualitative factors including growth potential, risk, and sustainability. This comprehensive comparison ensures the best balance of cost, service, and strategic value.

Migration Roadmap

Successful implementation of the chosen scenario requires a carefully planned migration roadmap from the current network to the future state. Our Strategic Services team partners with your team to create a phased sequencing plan that minimizes disruption, manages costs, and ensures clear communication. This roadmap includes action plans, transition cost analysis, and PMO support to deliver a smooth, low-risk implementation.

Schedule a
Consultation

Meet with a Hy-Tek expert to get a custom-built strategy that will not only save you money but provide a clear path to long-term, sustainable supply chain optimization.

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Site Selection

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