Impact of Competitive Analysis on Network Design​

Network design analysis and decisions are often taken in isolation, overlooking the impact of competition’s potential reaction to the renewed strategy. These inward-looking approaches could end up to be extremely costly!​

This case study examines the need to factor the reactions of key competitors into your supply chain network design decisions. Through an inclusive approach that closely examines competitor strategies, a large coffee roaster’s network design analysis resulted in:

  • Increasing its gross margin upside by $4.0M
  • Increasing its annual revenue by 8%
  • Avoiding a wrong turn that would have hurt its market presence

 

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About Eric Deahl

Educated as an Industrial Engineer, Eric has been providing planning and scheduling solutions throughout his career to numerous industries, with a particular focus on the value chains in manufacturing and distribution. He came to us from the optimization team at FICO, and prior to that was the leader of the Optimization and Supply Chain Solutions team in North America for IBM. Eric has a particular interest in understanding how organizations differentiate themselves in a marketplace and then applying technology to enhance that differentiation through operational effectiveness.

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