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Strategic supply chain planning

Strategic planning performs forecasting using mathematical statistics methods. Forecasting is performed by markets, by country-region-distribution channels and procurement, by tactical groups of products and raw materials.

Formation and analysis of strategic plans for production is carried out on the basis of strategic implementation plans, enlarged rationing of production resources, taking into account additional constraints of warehouse logistics (warehouse restrictions, availability, expiration dates, etc.), as well as other restrictions and standards.

Formation and analysis of strategic plans for the purchase of raw materials is carried out on the basis of strategic plans for the production and sale of products, enlarged standards for the consumption of raw materials and materials, standards for safety stock, taking into account restrictions on procurement cycles, as well as other restrictions and standards.

The results of the planning of transactions and integrated sales schemes and the purchase of raw materials are the basis for business processes of pre-contractual and contractual work.

When planning routes for the delivery of goods, the following logistic directories of the system are used:

• reference book of typical delivery routes (in relation to the terms of delivery according to the rules of Incoterms)
• directories of logistics objects: distribution centers, warehouses, ports, railway stations, border crossings
• types of transportation references
• reference manuals of logistic standards: distances between objects of logistics, duration of transportation, cost, tariffs of transportation

Throughout the supply chain, planning, collection and cost analysis of costing items and cost centers are performed automatically:

• planned costs can be calculated by various automated methods
• when installing the system, more than 80 typical cost items are delivered, such as transportation costs (by ships, railway, auto), freight forwarding costs, other costs (for insurance, customs clearance)

Calculations of key performance indicators and feasibility can be carried out taking into account various limitations

The results of a comprehensive analysis of the feasibility and effectiveness of the formed plans provide the expert with an accurate assessment for making management decisions. When calculating key performance indicators and feasibility, the following limitations are applied:

• production capacity constraints
• restrictions on cycles and volumes of purchases
• storage facilities
• transport network restrictions
• limiting complex planned supply chain costs

Organization and control of supply chains is provided by:

• full cycle of workflow throughout the supply chain, including contractual and logistical documents
• organization and accounting of the physical movement of products and raw materials in the supply chain
• automatic creation of contractual documents, chains of documents for actual movement of cargo, other logistical documents (acts of consignment, bills of lading, administrative documents, etc.)
• accounting of actual costs by all links in the supply chain

Various variants of analytical reports delivered with the system allow you to perform all actions to control supply chains: dispatching the passage of cargo through the supply chain, analyzing the accumulation of shiploads in ports, analyzing the occurrence of stock for each logistics object and other actions.

To analyze the effectiveness of transactions and supply chains the following is performed in the system:

• calculation of the actual cost of the batch or lot of delivery
• analysis of planned/actual cost and costs in various options: by delivery orders, by cost analytics, by logistics objects
• analysis of the implementation of operational and future plans in arbitrary contexts: by amount equivalent, by nomenclature, for arbitrary periods, in various groupings

Other analytical reports of the module will provide complete information for analyzing the results and performance for different periods.