Font size

NO Experiment

Network optimization experiment is used to provide:

  • The most optimal locations for distribution or production facilities
  • Product flows
  • Sourcing options

The optimal solution is the best set of flows and facilities considering:

  • A profit maximizing objective
  • Adherence to all constraints (i.e., Production)

The experiment considers the following data:

  • Demand
  • Location of suppliers, customers, existing and potential facilities, and paths between the supply chain elements
  • Product flows
  • Product storages
  • DC fixed / variable costs, and transportation costs
  • Time periods

The experiment does not take into account any dynamic characteristics.

Network optimization experiment uses the following tables as the basis for the inventory and sourcing policies:

  • Product Storages — the table defines parameters configuring inventory stock.
  • Product Flows — the table defines parameters configuring sourcing.

To create an experiment you need to previously create at least one scenario.

How can we improve this article?