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Distribution network design

This training follows the modeling and analysis of which facilities and connections should serve each market, considering service, eligibility, and cost. Start with demand and the current network, then evaluate more flexible sourcing and new distribution centers (DCs).

The foundational material, location, and network datasets are also used in the Community tutorial. Facility selection through combinatorial optimization and economic analysis in P&L belong to the Enterprise scope. This template does not require running those capabilities in a Community instance.

Training journey

Chapters are cumulative: each checked output becomes the input to the next step. Start with commercial segmentation, model current operations, and then evaluate candidate facilities and opening decisions.

Chapter Output preparing the next step
1. Segment markets and demand Split municipality, service rule, and CIF/FOB without duplicating demand.
2. Configure fleets and freight costs Associate fleets, freight tables, and lanes and check each leg’s cost.
3. Prepare the baseline and network versions Reproduce the current network and prepare comparable versions for flexible sourcing and new facilities.
4. Propose DCs with barycenter analysis Filter DC-only demand and inspect candidate coordinates and distances.
5. Create and connect candidate locations Turn proposals into master data with inbound and outbound lanes in each network version.
6. Configure optimization and brownfield profiles Define engine, regional scope, optional facilities, and capacity constraints.
7. Run and compare results Reconcile fulfillment, flows, and P&L and extract the data supporting the decision.

How to use the training

Keep a control scenario and record the assumptions changed in each comparison. Distinguish the barycenter’s geographic proposal, the actual location/lane master data, and the optimizer’s economic decision. Reconcile the baseline before attributing benefits to a new facility.

Shared material

The screenshots show a local Enterprise demonstration scenario with anonymized records and Portuguese names. The PT/EN text versions use the same identifiers and captures so readers can follow the same model. Control labels follow the available interface.

Complete datasets are not distributed. When adapting the model to your operation, reconcile demand, capacities, unit costs, and fixed costs; record the assumptions supporting each comparison.

Return to Templates or explore Supply Planning setup.