SCM Globe

4 Supply Chain Entities

Four supply chain entities: products; facilities; vehicles; and routes

Supply chains are made from combinations of four entities, and the interactions between those entities are what drive supply chain operations.  The four entities are:

1. Products — things in demand at various facilities
2. Facilities — places where products are made, stored, sold or consumed
3. Vehicles — mechanisms to move products between facilities to meet demand
4. Routes — paths taken by vehicles to move products between facilities

With SCM Globe you define these entities, and drag/drop their entity icons to place them on a digital map (like Google Maps). Zoom in and turn on the satellite view to place real facilities where they really are. Or put new facilities exactly where you want them to be. Then assign vehicles to move products on routes between those facilities as needed to meet demand.

While you define and position your supply chain icons on a digital map, you are also creating a rigorous mathematical model of the supply chain without having to deal directly with the math. You can run this model in simulations and see how well it works. And make adjustments based on what you see, and run more simulations, and keep improving the performance. What works well in the simulations will also work well in the real world. So using supply chain simulations is a great way to explore real-world options, and find out which ones work best.

 

Map-Based, Geospatial User Interface (UI)

The SCM Globe User Interface  provides an easy to understand geospatial context in which to model and simulate supply chains, without being overwhelmed and confused by all the related details. The map-based UI lets you see the “big picture” and analyze the details. Analyze and understand detailed operations and financial data within the organizing context provided by the map and satellite views of a supply chain.

[See more about our supply chain modeling and simulation logic.]

 

Create Entities – Place Them on a Map

In the Edit Screen you define the four types of entities. As you define an entity like a factory, store, or warehouse, its icon pops up on the screen, and you drag/drop it to place that facility on a digital map (like Google Maps). Place facilitates where they actually are in real supply chains, or put them where you want them to be in new supply chains. Define vehicles to move products on routes between facilities (see icons and blue route lines in screenshots below). This creates a mathematically rigorous model without you doing the math, or having to draw abstract flow diagrams. You can run this model in simulations to see how well it works — just click the “Simulation”  button in the upper right corner of the Edit screen.

(click on picture for larger image)

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Run Simulations – See How the Supply Chain Works

The Simulate Screen opens in a new browser tab when you click on the “Simulation” button. In the Simulate screen click the “Play” button to play a simulation of your supply chain. Vehicles move on their routes, and onscreen displays show graphic and numeric readouts as the simulation runs. You can speed up, slow down, pause, and replay simulations as needed. You can also download simulation data and create Profit & Loss Reports with Key Performance Indicators (KPIs). The reports provide an objective basis for comparing different supply chain designs.

We are glad to provide a free evaluation account to instructors, students and supply chain professionals interested in exploring SCM Globe simulations — click here to request an account — Get Your Free Trial Demo

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Produce P&L Reports and KPIs from Simulation Data

Download and Analyze Simulation Data – When you get your simulation to run for 30+ days you can download the simulation data to a reporting template and produce monthly Profit & Loss reports plus key performance indicators (KPIs) such as the example shown below (see). These reports help you spot areas for improvement in your supply chain, and serve as an objective measure to compare the effectiveness of different supply chain designs. The reports help you find opportunities to adjust the four entities to get the best performance from your supply chain.

 

Be Ready to Go in 15 – 30 Minutes

Getting Started is easy – go through a few short videos and tutorials. In 15 – 30 minutes you’ll be ready to start modeling supply chains and running simulations.

 

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