Holcim Uses Network Optimization to Manage Supply Chain Risk and Optimize Costs

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Executive Summary

Holcim U.S. is a wholly owned subsidiary of Holcim of Switzerland. Over the last few years, where demand has outstripped supply, managing make-versus-buy decisions is also a key decision that needs to be regularly revisited as demand plans are updated. To support this type of analysis, Holcim recognized the value of purchasing and leveraging a network design tool and bringing model-building and analysis skills in-house. Holcim is also looking to use network design to help determine the carbon footprint of its supply chain. The first phase of the project is to add the necessary data to the model, and to determine CO2 emissions for certain network configurations. Subsequent phases will look to optimize/reduce CO2 levels.

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