JR East Logistics Co., Ltd.

JR East Logistics faced the need to restructure its logistics network to adapt to changing demand trends. Additionally, with future business expansion and increasing uncertainty, it became more important to evaluate logistics strategies from multiple perspectives using quantitative methods. 

Until now, logistics analysis and planning had relied heavily on the experience of individual staff. However, because of complex constraints—such as dispersed delivery destinations, specific delivery time windows, and mixed-temperature cargo—these analyses required significant time and effort, raising concerns about sustainability and comprehensiveness. 

To address these challenges, it became essential to establish a data-driven, objective logistics evaluation framework.

To realize an optimal logistics structure and objective evaluation framework, the use of digital twin technology was essential.
The team defined how to apply the technology, promoted data collection and structuring, and successfully built a highly accurate digital twin in a short period. 

Using this digital replica of the logistics network, multiple simulation scenarios tailored to JR East Logistics’ unique logistics characteristics were developed, enabling the beginning of an optimal, unbiased logistics restructuring plan. Additionally, a sustainable process and environment were established to support ongoing logistics analysis. 

The project adopted Coupa Supply Chain Design & Planning as the digital twin platform, selected for its ability to seamlessly support hypothesis testing from estimating the impact on the entire logistics network to conducting focused delivery analyses, including route planning, driver working hours, and load efficiency.

Within a short three-month period, ABeam Consulting supported the development of an advanced operational foundation to enable future business expansion and greater efficiency by executing the following three key initiatives:

1. Built a simulation environment that enables hypothesis testing and evaluation tailored to the client’s unique logistics requirements, leveraging both logistics and technology expertise.
2. Collaboratively developed an optimized logistics restructuring plan by repeatedly running and reviewing simulations with the client, ensuring decisions were based on quantitative evidence and aligned with overall optimization goals.
3. Established a sustainable logistics evaluation framework by systematizing the use of the simulation model, enabling the client to independently conduct ongoing hypothesis testing and performance assessments.