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- Case Study on Electrical Good Company -
Contract Logistics Pvt. Ltd.
Plot No. 619, Rangpuri; Mahipalpur Extension
New Delhi – 110 037
                      info@contractlogistics.co.in
Case Study : Electrical Good Company


•    Factory (Manufacturer)
    - Haridwar
    - Bhuj
    - Daman Units I to IV

•   Warehouses
    - Daman (Dalwada)
    - Valsad
    - Bhiwandi
Components Of Supply Chain

•    Agent Branch Dealer
    - Bangalore
    - Hubli
    - Chennai
    - Madurai
    - Cochin
    - Hyderabad

•    Customer Markets are different places served from Agent
     Branch Dealers
Design Of Supply Chain

Factory(Manufacturer)    Warehouses                             Customer Market
                                          Agent Branch Dealer

       Haridwar          Daman(Dalwada)
                                                   Bangalore


                                                    Hubli

        Bhuj                 Valsad
                                                    Chennai


                          Bhiwandi                  Madurai
Daman Units I TO IV
                                                    Cochin


                                                    Hyderabad
Existing Network
Caps Modeling

• Factory (Manufacturer), Warehouses, Agent Branch Dealers
  and Customer Markets are modeled in CAPS Supply Chain

• Data Files are created which include all information
  of components of supply chain

• Lanes have been created which define the material flow between the
  components

• Points in the diagram imply the site locations of factory,
  warehouses, agent/branch and customer.
Caps Modeling- All options to serve open
Facility Location

Seeding For Sites (best of Cluster & CoG Analysis) 3 Sites Selected
•   Place Nagarjunasagar
    – Longitude 79.53
    – Latitude        15.78

•    Place Erode
     – Longitude 76.47
     – Latitude  11.77

•   Place Coimbatore
     – Longitude 76.60
     – Latitude    14.42
Existing Set Up
Case Study: Analysis Results
•   Supply chain network design tool was used to determine optimal
     • Number and locations of facilities
     • Aggregate network flow paths
•   Minimize total supply chain cost for given service level requirements and other
    business constraints
•   Further improvement on seeds and introduction of Mother DC and Hub and Spoke
    model for the client

                                                                            Demand Satisfaction
                                             25,000                                                          70%

                                                                                                             60%
                                             20,000




                                                                                                                   Percent Satisfied
                                                                                                             50%
                                             15,000
                                                                                                             40%
                                            Units


                                                                                                             30%
                                             10,000
                                                                                                             20%
                                               5,000
                                                                                                             10%

                                                    -                                                        0%
                                                                                                                                       Quantity
                                                           less than 8hrs    Less than one more than 1 day
                                                                                                                                       Percent
                                                    Band                          day
Flexim



Three basic problems which can all be solved with Flexsim:
• Service problems – the need to process customers and their requests at the
   highest level of satisfaction for the lowest possible cost.
• Manufacturing problems – the need to make the right product at the right time for
   the lowest possible cost.
• Logistic problems – the need to get the right product to the right place at the right
   time for the lowest possible cost.
Flexsim Simulation

•   Model various supply chain problems to great level of details
•   Provide extremely accurate and realistic three-dimensional animations
Equipment Mix Optimizer
•   To create an operations tool for optimal equipment selection that minimizes the
    cost – Equipment Mix Optimizer (EMO)
•   EMO can compare the 4 standard container types (20’, 40 STD, 40 HC, 45’) and LCL
    mode against each other to find the optimum solution
•   EMO uses the actual lane carrier rates as updated in the “allocation matrix”
    maintained by VFC operations
•   EMO is based on MS excel and uses solver functionalities and macros
•   This is still a “Work in Progress”



                            OPTIONS                             SOLUTION
    ORIGIN
                             LCL


                               20’
                                                       2X          40’

                                     40’
                                                        1X               45’
                                   40 HC
                                                                  =
                                           45’
                                                                MIN COST

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Case Study : Electrical Good Company

  • 1. - Case Study on Electrical Good Company - Contract Logistics Pvt. Ltd. Plot No. 619, Rangpuri; Mahipalpur Extension New Delhi – 110 037 info@contractlogistics.co.in
  • 2. Case Study : Electrical Good Company • Factory (Manufacturer) - Haridwar - Bhuj - Daman Units I to IV • Warehouses - Daman (Dalwada) - Valsad - Bhiwandi
  • 3. Components Of Supply Chain • Agent Branch Dealer - Bangalore - Hubli - Chennai - Madurai - Cochin - Hyderabad • Customer Markets are different places served from Agent Branch Dealers
  • 4. Design Of Supply Chain Factory(Manufacturer) Warehouses Customer Market Agent Branch Dealer Haridwar Daman(Dalwada) Bangalore Hubli Bhuj Valsad Chennai Bhiwandi Madurai Daman Units I TO IV Cochin Hyderabad
  • 6. Caps Modeling • Factory (Manufacturer), Warehouses, Agent Branch Dealers and Customer Markets are modeled in CAPS Supply Chain • Data Files are created which include all information of components of supply chain • Lanes have been created which define the material flow between the components • Points in the diagram imply the site locations of factory, warehouses, agent/branch and customer.
  • 7. Caps Modeling- All options to serve open
  • 8. Facility Location Seeding For Sites (best of Cluster & CoG Analysis) 3 Sites Selected • Place Nagarjunasagar – Longitude 79.53 – Latitude 15.78 • Place Erode – Longitude 76.47 – Latitude 11.77 • Place Coimbatore – Longitude 76.60 – Latitude 14.42
  • 10. Case Study: Analysis Results • Supply chain network design tool was used to determine optimal • Number and locations of facilities • Aggregate network flow paths • Minimize total supply chain cost for given service level requirements and other business constraints • Further improvement on seeds and introduction of Mother DC and Hub and Spoke model for the client Demand Satisfaction 25,000 70% 60% 20,000 Percent Satisfied 50% 15,000 40% Units 30% 10,000 20% 5,000 10% - 0% Quantity less than 8hrs Less than one more than 1 day Percent Band day
  • 11. Flexim Three basic problems which can all be solved with Flexsim: • Service problems – the need to process customers and their requests at the highest level of satisfaction for the lowest possible cost. • Manufacturing problems – the need to make the right product at the right time for the lowest possible cost. • Logistic problems – the need to get the right product to the right place at the right time for the lowest possible cost.
  • 12. Flexsim Simulation • Model various supply chain problems to great level of details • Provide extremely accurate and realistic three-dimensional animations
  • 13. Equipment Mix Optimizer • To create an operations tool for optimal equipment selection that minimizes the cost – Equipment Mix Optimizer (EMO) • EMO can compare the 4 standard container types (20’, 40 STD, 40 HC, 45’) and LCL mode against each other to find the optimum solution • EMO uses the actual lane carrier rates as updated in the “allocation matrix” maintained by VFC operations • EMO is based on MS excel and uses solver functionalities and macros • This is still a “Work in Progress” OPTIONS SOLUTION ORIGIN LCL 20’ 2X 40’ 40’ 1X 45’ 40 HC = 45’ MIN COST