APPROACH
To address this, the team at Tredence developed analytically robust data models with the following specifications:
- Process study through stakeholder interviews, discussions with Warehouse, Distributor and 3PL operators
- Identifying several service models and evaluating them on cost to serve, service level availability, scalability, complexity etc.
- Concessionaire stocking and delivery
- Concessionaire stocking, 3PL delivery
- Direct to PUP 3Pl service
- 3PL delivery from 3PL stock point
- Growth modelling to understand different scenarios when the markets mature and expand
- Cost to serve scenario simulations with respect to different levers – order volume, additional PUPs, distance from supply locations, routes per week etc.
KEY BENEFITS
- Data backed repeatable decision framework for evaluating different service models across entire Europe
RESULTS
- Tool to evaluate different scenarios and costs to identify the right service model
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