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SIMPROCESS
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SUPPLY CHAIN MODEL

To run this model, complete the Registration Form for a Guest Login password to download the trial version of SIMPROCESS.

After installing the trial version, open SIMPROCESS, click File on the toolbar, open the Demo folder by selecting:

C:\CACI\SIMPROCESSStudent\SPUSER\Demos

This model is also described in the Getting Started Guide:
"GetStart" Acrobat file included in the trial download,
C:\CACI\SIMPROCESSStudent\SPSYSTEM

Description:
For an industrial enterprise, one of key business processes is the supply chain process. The primary goals of supply chain management are to maintain high service levels while minimizing costs. The key problem in supply chain management is how to balance inventory. Variability in demand and process times, complexity of the supply chain objects, and system dynamics create uncertainty that can only be modeled and analyzed with a tool like SIMPROCESS.

This demonstration model represents a typical supply chain for an industrial enterprise with 4 factories, 3 suppliers, and 4 customers (distributors) in the United States. This high level model of the supply chain demonstrates how SIMPROCESS can help define the major processes, resources, and entities involved in providing products to customers. The model also demonstrate the power of the hierarchical simulation capability of SIMPROCESS. To view the power of hierarchical modeling, drill down into the West Coast factory (F1). Below is a brief description of the model elements.

Customers
Customers demand products from the factories. The customer process defines the frequency and quantity of demand from the factories.

Suppliers
Suppliers supply raw materials (supplies or components) to the factories. Each supplier produces different types of raw materials and ships to each factory.

Factories
Factories assemble the components, package the goods (inventory) and ship them to customers. A factory typically ships to customers in its geographic region. For example, the west coast factory receives 80 percent of its orders from the west coast customer and 20 percent of its orders from the southwest customer.

Such a model of a supply chain can be enhanced to answer questions such as:
  • What if the demand for certain products from the east coast supplier doubles?
  • What if the west coast supplier is having manufacturing problems with a product line?
  • What if we use alternative transportation carriers to deliver products to customers?
  • What if we outsource the assembly process?
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