Network Optimisation

 
 

The CHALLENGE

Managing a large interconnected network of facilities is a hugely complex task. A network could be made up of factories, warehouses, transportation, logistics hubs and retail sites. Strategic and operational decision-making requires knowledge about the projected costs and benefits of alternative scenarios. This requires data on customer and supplier locations, transportation costs and competitor behaviours - these are not always easy to measure and are subject to uncertainty.

Commonly faced problems include deciding how many sites to implement and where to locate them. The new sites may cannibalise the markets of existing sites. Some existing sites may underperform, and businesses will then have to choose whether to divest these sites or invest to increase performance.

Making the right strategic decisions on investment, pricing and development across a network of facilities require data on both past and future performance. Effective network optimisation can deliver significant reductions in costs and can increase service levels and revenues across your business.

 

THE DATA

Peak help you to do this by consolidating your data and providing analytical insights. Peak will bring all of your data sources together on our secure cloud-based platform and combine it with our large external data sources. We then apply our algorithms in our Analytics Engine to optimise your network.

 

 

Click here to learn more about how we can help you choose the ideal site locations and transport for running your business.


 
 
 

OUR TECHNIQUES

We model supply and demand using historical data and combine these with geographical features appropriate to the use case. Our teams of data scientists and engineers work to build the most appropriate model for your circumstances. Additional geographic and demographic features can be modelled using gravity models or Gaussian process based stochastic models. We can the use mixed integer programming to suggest optimal allocation of recourses given variable demand and cost, fixed inputs and any other constraints. Our models will suggest an optimal course of action that either minimises cost or maximises profits or revenue. Simulation studies can the be conducted using an agent-based model to test the validity of assumptions.

HOW WE DELIVER RESULTS

We will present these results as an interactive dashboard via our platform that clients can use to test out various alternative courses of action. The analytic insights gained through using our network optimisation solution will ensure that your company's networks are among the most efficient and robust in the world!


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