A company's logistics network is the foundation of its supply chain operation. It defines where distribution centers, factories, suppliers and points of sale are located - and, above all, how these points connect. In a scenario impacted by tax reform, climate change and new market demands, reviewing this structure is no longer optional. It's a strategic decision.
What is a logistics network study?
The logistics network study (or Supply Chain Network Design) is a process of analyzing and modeling the supply network. Using real data and simulations, the aim is to find the best possible arrangement between cost, level of service and sustainability.
This study helps to answer questions such as:
-
- Where to open or close distribution centers?
- Which suppliers are the most advantageous by region?
- What is the impact of new fiscal policies or environmental targets?
- How many CDs are ideal to balance cost and speed?
When to review the logistics network?
Linear points out that the main triggers for reviewing the logistics network are:
→ Operational efficiency: cost reduction, gain in scale, post-M&A synergies.
→ Market changes: new geographies, sales channels, consumer behavior.
→ External factors: tax changes, fiscal incentives and carbon targets.
Tax reform, for example, could completely change the criteria for choosing a location. State incentives are likely to disappear with the transition to IBS, requiring decisions based on more robust fundamentals.
How Otimix supports strategic decisions
O Otimix Network Design is Linear's software for studying logistics networks. Developed over more than 20 years, Otimix combines strategic modeling, artificial intelligence, digital twin and scenario simulation to support critical medium- and long-term decisions.
Strategic vision with depth
- Demand modeling by macro and mesoregions
- Grouping products by families, with specific tax rules
- Decision horizon in annual stages, suitable for staggered investments
Artificial intelligence and machine learning
- Algorithms such as Random Forest, Neural Networks, SVR and SARIMA
- Demand segmentation, identification of seasonality and outliers
- Automatic generation of candidates for new logistics points
Digital Twin applied to logistics
Otimix acts as a real digital twin of the supply chaincapable of:
- Testing decisions before actual execution
- Simulate the impact of new DCs, modal changes, market expansion
- Assess ROI, payback and environmental impact of logistics investments
Detailed modeling of locations and capacities
- Each logistics point can perform multiple functions (DC, factory, port, etc.)
- Capacities, costs and coverage targets are individually parameterized
- The system makes it possible to analyze trade-offs between the number of DCs, logistics costs and service levels
Sustainability and resilient planning
Otimix incorporates environmental restrictions and natural capital targets directly in the modeling. It also makes it possible to create environmental investment roadmaps that prioritize actions with the greatest sustainable impact within the available budget.
Examples of strategic decisions with analytical support
Companies that use Otimix succeed:
- Compare logistics scenarios considering total cost, freight, taxes and service level
- Choosing the most advantageous suppliers even outside the state, assessing logistical risks and the impact on safety stock
- Prioritize sustainable investments based on an analysis of environmental impact and expected return
- Implement regionalization and productive relocation strategies in the face of geopolitical tensions
Trends discussed at Intermodal 2025
At Intermodal 2025, the CEO of Linear, Ulisses AssisIn his talk, he highlighted the major changes taking place in logistics planning:
- The rise of continuous and connected planningwhich replaces static models with dynamic and collaborative simulations
- The importance of tools that combine systemic vision, data intelligence and adaptability
- The urgency of making jails more resilient and sustainablewith the capacity to respond to extreme events and environmental restrictions
These pillars are already incorporated into Otimix. The tool allows companies to plan based on real scenarios and constraints, creating a more agile, integrated and sustainable decision-making flow.
Conclusion
O logistics network study is an essential tool for aligning strategy, efficiency, resilience and sustainability. In a context where tax, environmental and geopolitical changes require rapid and secure responses, Otimix offers agility, precision and an integrated vision.
Is your company ready for the future of logistics?
Linear can help you redesign your network with intelligence, technology and security.
Click here and get in touch with our team.