Blog Post
How Aliaxis Built a Digital Twin to Optimize Its European Supply Chain
About the Company
Aliaxis is a global leader in designing innovative, reliable, and sustainable solutions for fluid and energy management. They provide pipe and fitting systems which work seamlessly behind the scenes to provide peace of mind for customers and end-users.
With operations in over 40 countries, Aliaxis serves the most complex needs of the building, infrastructure, industrial, electrical, and agriculture sectors.
We interviewed Stefan Ostertag, Director of Transformation, and Carlos Felipe Sánchez Ramos, Modeler SC Network Design, EMEA, to learn how Aliaxis is using AIMMS SC Navigator to optimize its supply chain network and enable better business decisions.
The Challenge: Creating a Centralized Supply Chain Organization
Aliaxis’ first attempt at network optimization dates back to 2017, when the company started working on a network redesign project using another tool. The goal then was similar to today: create a digital twin of the supply chain and optimize the footprint. However, the project stalled before it could deliver results due to a few key challenges:
- Data scattered across multiple systems, making it difficult to bring everything together for modeling.
- Different ways of structuring and naming information across markets which made standard analysis complex.
- Limited internal capability to maintain and adjust the model independently, leading to delays and dependency on external partners.
These challenges prompted Aliaxis to pause the project and rethink its approach. Yet the need for optimization never disappeared.
By 2022, the business had evolved, and Aliaxis was again looking to strengthen its supply chain organization and was ready to begin again with a more structured and sustainable approach.
The Solution: Building a Digital Twin with SC Navigator
Aliaxis evaluated multiple tools and partners. AIMMS SC Navigator, combined with the expertise of Haskoning, an AIMMS partner, emerged as the best fit for the company’s needs for flexibility, scalability, and usability.
And this time, Aliaxis took a unique approach:
1. Ownership of the tool and expertise
The company decided to license AIMMS SC Navigator and appoint a dedicated internal resource to own and evolve the model. This ensured the model could keep pace with changes in the business environment.
“We realized that we needed to bring the tool into the company but also have someone who could continually manage and grow it,” says Stefan.
2. Knowledge transfer through partnership
Aliaxis partnered with Haskoning to get started quickly, leveraging their expertise for the initial proof of concept and building the Pan-European digital twin. As the internal team grew more confident, they took the ownership of running SC Navigator themselves.
3. Flexibility for multiple scenarios
SC Navigator’s standardized Excel templates made it easy for the team to manage data inputs and run models. The flexibility of the template, combined with the ability to capture costs across all parts of the supply chain network, proved to be a major advantage.
“Using this information makes my life easier,” says Carlos Felipe.
4. Integration into decision-making
Aliaxis established a Sourcing Board within its IBP process. This cross-functional forum is supported by SC Navigator for key decisions on:
- Network footprint and warehouse consolidation
- Make-or-buy evaluations
- Route-to-market strategies for new product introductions
- Comparing end-to-end cost with different Incoterms to choose the best procurement option
The Impact: Cost Savings and Smarter Decisions
The digital twin model quickly became a valuable tool supporting decision-making at Aliaxis, providing visibility and insights that were previously impossible.
1. Identified cost savings opportunities
By simulating different network footprints and transportation setups, the model revealed potential cost reductions of ~8–9% of total logistics costs.
2. Reduced inventory
Scenario modeling helped the team understand how consolidating distribution sites could impact stock levels, leading to substantial reductions.
3. Potential improvements in customer service and sustainability
Network redesign scenarios demonstrated ways to enhance service levels while optimizing cost. Sustainability has now entered the equation, with CO₂ emissions tracked and modeled as part of ongoing studies.
4. Faster, fact-based decisions
What previously required months of consultant engagement can now be handled internally, sometimes within days.
“When marketing wants to introduce a new product in a different country, we can immediately analyze the best site, route to market, and cost implications,” explains Carlos.
“Without the SC Navigator model, we would not have been able to identify this potential. It gave us a clear view of how network changes impact costs, stocks, and service.”
— Stefan Ostertag, Head of Network Design, EMEA
What’s Next: Sustainability and Business Growth
Incorporating CO2 as a key optimization factor, not just a metric, and balancing it against cost and service in decision-making.
Ready to optimize your supply chain like Aliaxis? Discover how SC Navigator can help.
