This guide walks you through the Strategic Network Design certification exam. By following the steps below, you’ll understand the logic behind each scenario and verify your answers with the correct results.

️ Step 1: Understand the Template

Before starting, make sure your template matches the exam setup. (Template attached)

Warning: Even a small mismatch (e.g., number of warehouses, suppliers, or constraints) will lead to incorrect results later.

Current Network Analysis

Question
How does the current network look when we take into account the use of all the 6 warehouses and 5 suppliers?

How to approach it

• Enforce the constraint of minimum 6 warehouses and minimum 5 suppliers.

• Solve the model.

Expected Answers

• Total cost → 14,451,218

• Largest throughput warehouse → Toulouse

• Largest supplier → Budapest

Demand Increase in Spain

Scenario
A new retailer in Spain increases demand by 15% for Barcelona and Madrid.

How to approach it

• Go to the Customer Data section.

• Adjust demand for Barcelona and Madrid using the widget.

• Solve the model again.

Expected Answers

• Total cost → 14,858,057

• Total demand → 48,259

Tip: Always double-check that demand changes are saved before solving.

Optimal Number of Warehouses

️ Scenario
The VP wants to know if it’s optimal to actually use all 6 warehouses, or if demand can be fulfilled with fewer.

How to approach it

• Relax the Minimum Number of Warehouses constraint in the Control Panel.

• Allow the solver to choose from 1 to 6 warehouses.

Expected Answers

• Optimal number of warehouses → 4

• Total cost → 14,743,277

• Warehouse at maximum capacity → Hannover

Expanding Warehouse Capacities

Scenario
The VP is interested in expanding warehouse capacities to check if a more optimal network can be achieved.

How to approach it

• Relax the Maximum Warehouse Capacity constraint.

• Keep relaxing the Minimum Number of Warehouses constraint.

Expected Answers

• Total cost → 14,673,324

• Optimal number of warehouses → 3

• Warehouses needing expansion → Hannover & Toulouse

Tip: Red-highlighted warehouses in the results indicate where capacity is exceeded.

Naples Supplier Closing

Scenario
The Naples supplier will not renew their contract.

How to approach it

1. In the Data section, force close the Naples supplier.

2. In the Control Panel, reduce the Minimum Number of Suppliers from 5 → 4.

Expected Answers

• Is it possible to fulfill demand? → Yes

• Total cost → 15,217,074

Warning: If you don’t reduce the supplier requirement, the model will be infeasible.

Final Notes

By carefully following these steps, you can ensure that your answers match the expected exam results. Always:

• Double-check constraints before solving.

• Verify that your template matches the one provided.

• Interpret results not just as numbers, but also in terms of business impact.