SAT

2

SAT Distribution Network Simulator

To secure lean, agile and cost effective supply chain processes and distri-bution networks, SAT AG offers a simulation-based product, the „SAT Dis-tribution Network Simulator“, which is driven by leading-edge discrete eventsimulator Arena. The „SAT Distribution Network Simulator“ allows for dyna-mic modeling of supply chains and distribution networks, it integrates va-riability, uncertainty and stochastics in demand and transportation and de-termines the fill rates using a range of stocking and ordering policies.

Product Description

The „SAT Distribution Network Simulator“

• Enables to model complex supply chains and distribution networks interms of nodes (facilities such as factories, distribution center, hubs) andarcs/routes (relationships): national, international, and intercontinentalnetworks can easily be set up by a self-explanatory Graphical User Inter-face (GUI)

• Provides a range of inventory stocking and ordering policies for all nodes• Enables extraction of demand/order profiles and network configuration

data from standard data bases such as Access• Specifies arc/route characteristics in terms of ranges of ordering and

shipment lead times• Runs simulations with existing or generated demand/order profiles for

products• Enables what-if analysis on feasible policies using order fill rates as an

indicator• Can be interfaced to MapPoint 2004 Object (Maps of Asia Pacific Region

available)• in the output part of the GUI allows for drill-down into simulation results

and comparison of scenario supported by Crystal Reports – regardingboth, nodes and arcs/routes statistics with their KPIs

• Drives down supply chain costs, improves service levels, and enhancesprofitability by comparison of the present policy with generated feasiblepolicy

• Can be customized with regard to specific customer requirementsand application wishes, i.e. additional functionalities, granularityand complexity, for example, in warehouses and plants can bemodeled in Arena, the simulation engine of the „SAT DistributionNetwork Simulator“

SAT

3

Architecture

The „SAT Distribution Network Simulator“ consists of the following modulararchitecture as detailed below:

• GUI Data Collector• GUI Demand Generator• GUI Network Builder• Arena as Simulation Engine• GUI Simulation Reports and Drill-Down based on Crystal Reports

SAT Distribution NetworkSimulator

Simulation Engine

Arena

Graphical User InterfaceNode Data Collector

Inventory stocking and ordering policies

Demand GeneratorNetwork Builder

Simulation Results for Nodes and Arcs

• Inventory Level per Node• Transportation Frequency and Costs per Arc/Route• Resource Utilization, Lead Times and Service Level

per Scenario• Costs

SAT

4

Graphical User Interface with Input, Output and Run Control Section

Importing the List of Nodes with Attributes

SAT

5

Placing the Nodes with Drag & Drop

Definition of the Routing Table

SAT

6

Defining the From-To-Matrix (also, MapPoint 2004 Object can interfaced)

Setting Up the Distribution Network

SAT

7

Importing the Demand/Order List

Setting Up Simulation Run in Arena

SAT

8

Inventory Distribution in Nodes during Simulation Run in Arena

Transportation along the Arcs/Routes during Simulation Run in Arena

SAT

9

Drill-Down for Simulation Results within the Output Section

Transportation and Order Statistics for a Month

SAT

10

Node Statistics for a Day for Orders and Inventory profiles (Mean and stan-dard deviation of inventory, max stock levels)

Areas of Application & Objectives of Strategic Planning

The „SAT Distribution Network Simulator“ is a scenario-based strategic plan-ning tool and employs the discrete event simulator Arena to analyse theoperational behaviour of a given (As-Is) or planned (Should-Be) supply chainor distribution networks. Model entities used, for example, are

• Nodes (Factories, DCs, Hubs, and other facilities)• Arcs/Routes between the nodes• Processes & policies (inventory stocking and ordering)• Products and their demands• Transportation modes (trucks, ships, airplanes)• Shipments sizes• Service Levels

With this architecture, the „SAT Distribution Network Simulator“ enables togenerate dynamic simulation models of the most simple as well as the mostcomplex supply chain and distribution networks. The „SAT Distribution Net-work Simulator“ then efficently supports:

SAT

11

• the easy creation and robust strategic analysis of the entire supply chainor distribution network in a holistic view – supported by animation

• Evaluates the effect of changes to the supply chain on cost, service andother factors

• Allows for „Center of Gravity Studies“ – at which geographic locationshould distribution centers be placed to enable a cost-optimized network,especially with regard to transportation

• Resource utilization and bottleneck analysis witin the network• Throughput improvements: better ccordination of material and capacity

to prevent loss of utilization waiting for parts• Cycle/Lead time reduction: by considering constraints as well as its alter-

natives in the supply chain or distribution network it helps to reduce cycletime and lead time

• Inventory cost reduction: demand and supply visibility lowers require-ments of inventory levels against uncertainty

• Optimized transportation and transportation cost reduction• Minimize overall costs while serving committed demand

Costs

The costs for the „SAT Distribution Network Simulator“ and simulation con-sulting are

• „SAT Distribution Network Simulator“, includes Arena Professional EditionEuro 40.000.-

• SAT Distribution Network Simulator“, Yearly MaintenanceEuro 6.000,-

• 3 Weeks of Training (1 Week Arena Training, 1 Week „SAT DistributionNetwork Simulator“, 1 Week special customization to market require-ments of the customer)Euro 16.500,- plus travel and hotel

• Additonal Support from SAT is always possible at a daily rate of Euro1.100,-