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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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