Manufacturing assets are critical hubs in a value chain. For process manufacturers, the production assets network structure determines by far the lion’s share of the value chain costs. The biggest cost optimization savings opportunities are available when you are assessing or re-designing the network you have in place. Once manufacturers have established a network and negotiated major transportation contracts, there are limited actions that can further optimize costs. For most process industry manufacturers, the next significant cost savings come from exploring manufacturing capabilities/flexibility options and raw materials sourcing.
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If you have questions about how we help companies establish operationally effective production asset networks, please contact Eric Deahl.