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Print ArticleBy Jeffrey J. Karrenbauer
For the better part of 35 years, truly leading-edge firms have made supply chain design/redesign an integral part of their overall corporate strategy. The focus has gradually evolved from a myopic consideration of the number and location of warehouses to a comprehensive examination of the entire supply chain, from sources of raw materials to the customer. To accomplish this analysis they employ tools known as strategic supply chain design computer-based mathematical models. The purpose of this article is to give the reader some notion of what it takes to use these tools.
A brief word about each step in the supply chain redesign process:
Step 1: Establish Project Scope. "But of course," you say, "don't all well-conceived projects begin here?" Well, yes. However, in this instance the process is a bit more complex. Consider, for example, a representative list of issues that may be addressed by a supply chain design tool (see Figure 1).
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