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	INSTRUCTIONS & METHODOLOGY
	1. MODEL OVERVIEW
	Purpose	Optimize supply chain network design by evaluating facility locations, demand allocation, and total landed costs across a multi-tier network (Plant > DC > Customer).
	Methodology	The model uses a cost-minimization framework to allocate demand to facilities based on total landed cost, capacity constraints, and service level requirements.
	Time Horizon	5-year planning period (2026-2030) with annual granularity. All costs escalate with user-defined inflation and FX assumptions.
	Network Tiers	Tier 1: Manufacturing Plants (production). Tier 2: Distribution Centers (consolidation/storage). Tier 3: Customer Demand Zones (consumption).
	2. HOW TO USE THIS MODEL
	Step 1	Review and update the Assumptions sheet with your inflation rates, discount rate, FX rates, and cost escalation factors.
	Step 2	Enter your product data in Product Mix (SKU categories, weights, volumes, unit costs).
	Step 3	Configure facility profiles in Plant Master and DC Master (locations, capacities, fixed/variable costs).
	Step 4	Input demand forecasts by customer zone in Demand Centers for each year of the planning horizon.
	Step 5	Set transportation rates in Transport Matrix for Plant-to-DC and DC-to-Customer lanes.
	Step 6	Configure import duties and customs costs in Tariffs & Duties for cross-border flows.
	Step 7	Review Capacity Planning to identify utilization bottlenecks and expansion triggers.
	Step 8	The Allocation Engine will assign demand to facilities. Adjust allocation % to optimize cost.
	Step 9	Review Landed Cost for total cost build-up. Check Scenarios and Sensitivity for risk analysis.
	Step 10	Use Dashboard and Network Summary for executive reporting. Verify Error Checks for model integrity.
	3. KEY ASSUMPTIONS & LIMITATIONS
	Demand	Demand forecasts are deterministic annual volumes. Model does not capture seasonal or weekly variation.
	Costs	All costs escalate at user-defined rates. Transportation costs are per-unit and do not include volume discounts by default.
	Capacity	Capacity is annual throughput. No within-year capacity fluctuations modeled.
	Allocation	Allocation is based on user-defined percentages. The model provides cost-based ranking to guide allocation decisions.
	FX Rates	Currency conversion uses annual average rates. Intra-year volatility is not modeled.
	Sample Data	All data in this template is illustrative. Replace with actual operational data before making decisions.
	4. GLOSSARY
	TLC	Total Landed Cost - sum of production, warehousing, transportation, duties, and overhead costs to deliver product to customer.
	DC	Distribution Center - intermediate warehousing/consolidation facility between plants and customers.
	COGS	Cost of Goods Sold - direct production cost per unit at the plant level.
	FTL / LTL	Full Truckload / Less Than Truckload - transportation modes affecting per-unit freight costs.
	Utilization %	Actual throughput divided by maximum capacity. Trigger for expansion analysis.
	WACC	Weighted Average Cost of Capital - discount rate used for NPV calculations in scenario analysis.