Global logistics networks are highly complex structures. The diverse conditions that are decisive for the organisation and control of value chains change constantly. Political decisions as well as the strategies and location decisions of competitors, customers and suppliers, technology exchange, or supply shortages and M&A activities can exert a huge influence on a company’s own network. The commonly occurring concatenation and intensification of individual trends can further increase the complexity and dynamics.
Companies must therefore be able to recognise the relevant developments quickly and react by making flexible adjustments to their own networks – for example, by changing locations, adapting their procurement and distribution organisation, or redesigning their supplier portfolio. To make sure that these decisions can be made quickly and effectively, the global site structure and the allocation of products, technologies and investments must be checked continuously. In addition, it is necessary to constantly balance the relationship between central governance and local autonomy and to adapt to changing conditions. The following questions need to be answered:
- Which production and distribution sites are best, how are they networked and what economies of scale can be used?
- Which procurement clusters and centres are useful now and in the future?
- To what extent is the supply chain vertically integrated and what are the consequences in terms of make-or-buy decisions?
- How can regions with a comparatively low level of costs of production factors be included in the consideration of risks and benefits in the supply chain?
- What is the ideal footprint of the sites, which organisational and technological skills and resources are on hand and what products will be produced where?
ROI provides holistic support for the optimal design of global networks, in particular via the following services:
- Comprehensive analysis of quantitative and qualitative factors relevant for the design and modification of the global network
- On-site scouting using international and local teams
- Use of state-of-the-art simulation and analysis software
- Access to comprehensive professional data sources
- Integration of the planning and simulation results in the supply chain strategy