Optimizing strategic raw material allocation under contractual constraints

Advanced optimization model to reduce forged nickel procurement costs and secure critical aerospace supplies.

CLIENT

Safran

INDUSTRIE

Aerospace

METIER

Procurement

TECHNOLOGIE

Optimization

Contexte

Safran is facing extreme volatility in the forged nickel market. The critical challenge is to optimize procurement costs and transportation while adhering to complex contractual clauses (market share, volumes). Ensuring the stability of the Supply Chain and strategic alignment is imperative to securing aerospace production rates.

Solution

We have developed an advanced mathematical optimization model to automate the allocation of raw materials. The solution integrates business constraints and supplier capacities to minimize total cost of ownership (TCO). This decision-support tool ensures maximum economic efficiency without ever compromising security of supply.

-12%

overall raw material costs

-40%

of the time required for allocation

-15%

of logistics costs

Bénéfices

Significant cost reduction for the purchase and transport of strategic materials‍
Process automation for allocation, offering major time savings
Reduction of contractual risks suppliers‍
Immediate ROI through optimal and secure management of scarce resources.

Houcem

Responsable Technique

"The main challenge was to mathematically model highly disparate contractual clauses and logistical constraints. We overcame this by working closely with buyers to translate their business expertise into algorithmic variables. The result is a robust engine that simplifies trade-offs that were previously very time-consuming."

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