Purple Shovel utilizes 10 rules to optimize your Supply Chain

Supply chain and logistics optimization is neither easy nor cheap but it is the biggest opportunity for most companies to significantly reduce their cost and improve their performance.  For most supply chain and logistics operations there is an opportunity to reduce cost by 10% to 40% by making better decisions.

  1. Objectives – must be quantified and measurable
  2. Models – must faithfully represent required logistics processes
  3. Variability – must be explicitly considered
  4. Data – must be accurate, timely, and comprehensive
  5. Integration – must support fully automated data transfer
  6. Delivery – must provide results in a form that facilitates execution, management and control
  7. Algorithms – must intelligently exploit individual problem structure
  8. People – must have the domain and technology expertise required to support the models, data, and optimization engines
  9. Process – must support optimization and have the ability to continuously improve
  10. Return On Investment (ROI) – must be provable considering the total cost of technology, people and operations