5 ways to boost your supply chain with simulations

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3 Minutes Read


The world of business is getting more complex by the day, and managing supply chains can often leave you with more questions than answers. 

Am I fulfilling my customer needs the way I need to be?

Are my distribution centres in the right places?

What’s the environmental impact of my network?

Fortunately, there are tools that can help you deal with the challenges of supply chain management. Enter the 7bridges simulations layer, a fantastic simulations tool that allows you to use the data your supply chain is already creating, pair it with the data from within our platform and start finding answers to those questions. You can use it to visualise your supply chain, optimise inventory levels, and identify bottlenecks through its simulations layer. 

Here are five ways to make the most out of 7bridges supply chain simulations:

 

Test different scenarios

With the 7bridges simulations layer, you can test various scenarios to see how they affect your supply chain performance. It doesn’t matter if you’re getting things from suppliers all around the globe or trying to nail down the best outbound shipping from your distribution centres, or even run both and consider D2C strategies.

The simulations layer covers all those scenarios. You can manipulate different levers in a scenario, like longer lead times, crazy demand patterns, or bringing in new suppliers and see what happens. It helps you spot risks and opportunities to make the most impactful choices.

Read more: Taking control of your supply chain data for more strategic decision making

 

Optimise inventory levels

One of the most significant challenges in supply chain management is finding the optimal balance between inventory costs and customer service levels. Too much inventory ties up cash while too little leads to angry shoppers.

Using the 7bridges simulations layer, you can optimise inventory levels by testing different scenarios and achieving this balance. You can simulate various lead times and demand patterns, and even consider adding new suppliers. By using the 7bridges Simulations layer, you’ll pinpoint the exact balance between smooth operations and happy customers - all in one place.

 

Read more: Easy supply chain provider management: one UI to rule them all

 

Identify bottlenecks

When something gets stuck in your supply chain it can cause delays, increased costs and unhappy customers. So finding them early (before they’ve started really doing damage) is key. With the 7bridges simulations layer, you can really stress test your existing supply chain network to identify bottlenecks in your supply chain.

Simulate what it would be like if something really unusual happened with your supply chain. For example: whole shipping lanes getting shut down, a major port being unexpectedly blocked, or even a sudden increase in demand. You can then take it a step further and test out the best ways to resolve these bottlenecks.

Read more: Stress testing supply chains to beat disruption

 

Improve supplier performance

Supplier performance is very important in the success of any supply chain. With 7bridges simulations layer, you can analyse supplier performance and identify areas that need improvement. By working with your suppliers to improve their performance, you can reduce lead times, increase on-time deliveries, and improve overall supply chain performance. 

A notable example was when KFC changed carriers in 2018. DHL wasn't able to properly implement the contract, and a restaurant known solely for chicken ran out of chicken. Imagine if they had tested the carrier switch beforehand with simulations. They could've saved themselves from that colossal cluck up!

Read more: 7 supply chain problems most retailers have

 

Reduce risk

Supply chain disruptions can be a real headache, impacting your operations and finances. Imagine a natural disaster, port closure, or labour strike causing delays and unhappy customers. But don't worry, the 7bridges simulations layer is here to help. With this tool, you can proactively identify risks and develop effective backup plans.

For example, simulate a labour strike affecting a major supplier's production. The simulation reveals alternative suppliers and inventory adjustments to keep things running smoothly. Armed with this knowledge, you can create solid contingency plans, like finding new suppliers or establishing alternative transportation routes.

By addressing risks upfront, you'll ensure business continuity, customer satisfaction, and better manage disruptions. No more restless nights worrying about supply chain chaos.

Learn more: Are supply chain disruptions sending customers into the hands of your competitors?

 

The 7bridges simulations layer is a powerful tool that can help you optimise your supply chain performance and reduce risk. By using the simulations layer to test different scenarios, optimise inventory levels, identify bottlenecks, improve supplier performance, and reduce risk, you can improve efficiency, reduce costs, and enhance customer service levels.


If you want to understand more about how the simulations layer can enhance your business performance, book a demo now


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