ABSTRACT
This chapter discusses the most common decision support tool used to support strategic and tactical supply chain network design decisions the network optimization model. It examines how such models operate and place them in the context of the other tools that support supply chain decisions. The chapter explains the significant opportunity that network optimization presents, which is its role as a tool to achieve 'aligned' operations. Significant advances are being made in this regard, however, and describe a format for integrating inventory into network modelling. This chapter describes the aspect of designing a supply chain model around customers that dynamic alignment provides a framework that can significantly enhance the model results. Although strategic and tactical decision support systems (DSS) have been used in the supply chain for a considerable time, they have now moved from the leading edge to being a part of the everyday armoury of the supply chain designer/manager.
