Gaining near real-time visibility into logistics (CS281)

Written by Maine Pointe | Apr 4, 2023 2:04:54 PM

This story is for CEOs who:

Need help in tracking, controlling, and saving costs
Cannot access the data they need in a form they can use
Have complex logistics which resist optimization and are dragging profits down

The Challenge

A global supplier of commercial explosives, primarily for the mining industry, prided itself on customer service, manufacturing and delivering more than 1.2 million tons of ammonium nitrate from multiple facilities on three continents. However, they lacked any real measure of the cost and efficiency of their logistics; they were unable to track inventory levels, production volumes, key raw material purchases, and sales. Where the data existed, it was buried in multiple siloed systems.

Controlling costs while maintaining high fulfillment standards

SGS Maine Pointe:

Identified cost savings through advanced data analytics
Up-leveled sales, inventory, and operations planning (SIOP) to align budgeting, forecasting, production planning, inventory levels, and raw material purchases
Created a digital twin—a simulation model that gathers data in real time—for weighing various network optimization scenarios and evaluating investment decisions before committing

Lessons learned for other executives

Confident decision making requires reliable data and the tools to wield it
Near real-time visibility into global logistics and operations is possible
Technology helps to evaluate investment decisions and optimization scenarios

The Results

Provide “One version of the truth”
Implement self-serve analytics dashboards providing near real-time visibility into logistics operations and financial metrics
Develop digital twin of complex multi-mode logistics network
Support strategic decision making with complex scenario modelling to improve costs, service, and profitability
Accelerate digital maturity by years

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