The construction materials division of
Carlisle Companies wanted to evaluate their longstanding practice of co-locating their major warehouses next to their manufacturing operations. Carlisle was looking to reduce their transportation and warehousing costs and questioned if there was a particular set of new warehouse locations that would result in a more desirable distribution network resulting in lower costs and better customer service.
Profit Point developed an optimization model to trade off transportation and warehousing costs while meeting product demand. The model included the top 100 distribution locations in the US along with Carlisle’s existing warehouse sites as potential locations for the model to consider.
Profit Point was able to identify achievable annual savings of $1 million by showing them how to use their existing network more efficiently and by adding one new warehouse location next to the new manufacturing plant being built. The model showed that Carlisle’s existing warehouses were located in desirable areas regarding operating cost and proximity to vendor, manufacturing and customer locations, but also identified business changes to the way Carlisle manages their inventory at several warehouses, allowing them to realize larger savings. The study also confirmed which new manufacturing plant location out of several candidates was the most cost efficient in regards to transportation costs.
“Profit Point did not come to Carlisle with a pre-determined answer to our logistics issues. They did an excellent job of listening to our needs, working with our personnel to extract the necessary information, and formulating recommendations to reduce our costs.” said Bob Stout, Vice President in charge of Purchasing and Logistics at Carlisle SynTec Inc.
To learn more about how Profit Point can help you get the most out of your Supply Chain Infrastructure Planning, call us at (866) 347-1130 or send us an email.
ILOG has selected Profit Point Inc. as a preferred ILOG SP Service Provider due to our strong technology expertise and proven ability to integrate software components into custom solutions.
ILOG products are used by tens of thousands of end users in telecommunications, manufacturing, transportation, defense, and other industries.
Profit Point will present at the Spring INFORMS Conference on OR/MS Practice, Applying Science to the Art of Business, Cambridge, MA, April 25-27. Dr. Gene Ramsay will speak on “Using MS/OR Techniques in Supply-Chain Management” on Sunday, April 25, as part of Maximal Software’s Pre-Conference Workshop titled: “Integrating Optimization in Real-World Business Applications” We hope to see you there!
Our Profit Network optimization tool is a stand-alone software package that is used to solve supply chain network design problems. Profit Network can be used to analyze alternative placements of production facilities, distribution centers and warehouses over a multi-period planning horizon. Profit Network helps firms restructure their supply chains after mergers, periods of rapid growth and in anticipation of geographic or product preference shifts in the market. Savings of 10% of supply chain costs and 25% of supply chain cycle time are typical when implementing results from models such as Profit Network.
Profit Network allows the user to model their existing or proposed supply chain for a geographic 
area, with its locations, flow limits and costs. Input data include raw material sources and costs, plant locations, plant production rates and costs, warehouse and distribution center locations and costs and customer locations and anticipated demand. You will be able to solve detailed supply chain network design problems in a few moments with optimal results.
Profit Point has both delivered this product to clients and used it on 
Supply Chain consulting engagements. This proprietary tool is now available for delivery and use at your company.
To learn more about Profit Network, go to: http://www.profitpt.com/software/network-design/network-design-software/
To learn more about how Profit Point can help you get the most out of your Supply Chain Infrastructure Planning, call us at (866) 347-1130 or send us an email.
Profit Vehicle Router (PVR) is a sales and distribution territory planning application as well as an operational routing application. The software helps distributors save money by cutting the time needed to develop sales/distribution territories and schedules, as well as reducing delivery miles and the number of delivery vehicles and drivers needed. PVR helps you plan optimal delivery or sales route territories, cycle-day territories (what days each site will receive deliveries), and daily routes from a distribution center or office, thereby improving customer service, employee productivity and ultimately increasing profits.
PVR Assigns Your Customers to Efficient Route Territories
Go from chaos to organized in minutes. Create new territory assignments:
- As customers are added or deleted
- Or as often as you desire.
Suitable for both operational and planning purposes, streamlines your route-planning process, using computer-aided technology to:
- Reduce the staff time required to determine the optimal territories and routes,
- Reduce the number of delivery miles and delivery time, and
- Decrease the number of delivery vehicles and drivers you need.
PVR combines familiar tools such as Microsoft Access, Excel, and MapPoint with advanced
proprietary routing algorithms to ensure high-quality solutions.
To learn more about how Profit Point can help improve your vehicle routing and transportation systems, contact us here:
(866) 347-1130 or
(435) 487-9141
Send us an Email
Download the new article about the “The social side of the supply chain” co-authored by Alan Kosansky and Jim Piermarini from Amazon.com here.
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