REALLY simulating the Supply Chain Block 1-7

Todays video leans heavily on the conclusions derived from the statistics that have been recovered and processed from actual order data. For busy DCs, This data can often be massive and require processing and analysis to extract the relevant pieces and conclusions. The final result is called a profile.


We are using the values from an order profile stored in a global table to implement two distributions, one represents frequency based on a percentage, and the second represents the volume per SKU through a triangular distribution. The picking process now behaves like our real picking operation.


The triangular distribution is easy to document and implement.

Today's key concepts:

  1. ORDER PROFILE

  2. USING GLOBAL TABLES FOR THE ORDER PROFILE

  3. BERNOULLI DISTRIBUTION

  4. TRIANGULAR DISTRIBUTION

Wow, this is taking a very interesting turn. In out next session we will record key performance and process indicators (KPIs), test picking routes and hand out the first problem set (I keep foreshadowing this one).


This is REALLY simulating the Supply Chain, your best source for simulation tutorials and references. I am Enrique Elizaga head of simulation projects at Supply Chain Institute and I'm very excited to help you become a simulation expert!

Here is the excel data file:


OrderProfilexlsx