By Michael Carson, Group Commercial Director at Libra Europe
To support businesses with complex supply chains in developing their asset management strategy, Libra Change projects often involve the creation of a ‘Supply Chain Digital Twin,’ (SCDT) to provide a foundation for decision making and implementation.
Why use a Digital Twin?
The SCDT is a digital replica of a supply chain, giving the ability to iteratively test a series of scenarios. Having one in place enables prescriptive “what if” analysis whilst also supporting the identification of optimal solutions given a number of constraints. The creation of a SCDT enables robust and rounded decision making on the implementation of network design projects worldwide.
Creation & Use of a Digital Twin
There are a number of defined phases to implementing and leveraging the benefits of a SCDT:
What does this look like in reality?
The baseline model could be compared to a flight simulator at this stage – It is doing exactly what the real supply chain is doing, however, is in a ‘safe environment’ for ideas (scenarios) to be tested … What if we open Site A; how does this impact the surrounding sites? What if we acquire Business X; is there capacity in the existing network to accommodate some volume?
Therefore, the creation of a SCDT enables a business to take a strategic, holistic view of network decisions through the warehouse implementation programme, ensuring truly optimal decisions are made.
In addition, the SCDT will allow a business to evaluate and order a myriad of options in the context of an overarching plan. Implementation of a strategic plan happens in bite-size projects however, with the guidance from an overarching plan – The SCDT is the ‘living’ version of that strategy enabling a company to clearly see direction & trajectory in relation to ‘destination’ whilst also anticipating supply chain disruption and identifying opportunities to accelerate specific projects where appropriate.
How we work on Digital Twin Projects
The SCDT sits at the heart of the change programme and therefore would be developed alongside your supply chain team. Libra Change provides the expertise and capacity to develop the model as an integrated partner, ultimately seeking to transition the model, use and informing of decision making to you and your team.
What’s the benefit?
Typically, the creation and use of a SCDT unlocks the following opportunities:
For more information and to unlock opportunities in your supply chain, contact Michael Carson (firstname.lastname@example.org).