Fuel for change: ILOG solution seeks to solve higher transportation and inventory costs

06/24/2008


The costs associated with storing and managing inventory are rising rapidly. According to the 18th Annual State of Logistics Report , published by the Council of Supply Chain Management Professionals , inventory carrying costs rose 49 percent between 2002 and 2006. Globalization and increased complexity in supply chain management make it difficult to identify the true drivers of inventory costs.
Tools like ILOG Inventory Analyst allow developing global inventory optimization strategies to improve inventory turns and free up working capital. Additionally, ILOG Product Flow Optimizer is used to create stocking and distribution strategies that analyze trade-offs between transportation, warehousing, inventory carrying costs and service requirements, providing the optimal path of delivery from the source directly to consumers.
The latest version of ILOG Inventory Analyst also addresses integration issues that prevent organizations from adopting an inventory optimization tool.
“While the value of inventory optimization is unchallenged, rising fuel costs have placed even more attention on every aspect of cost within the supply chain,” says David Simchi-Levi, professor at MIT, coauthor of Designing and Managing the Supply Chain , and chief science officer at ILOG. “The ability to manage your inventory and customer-service levels more effectively will reduce unnecessary expediting and hence transportation costs. ILOG’s Inventory Analyst 7.0 and ILOG Product Flow Optimizer 7.0 integrate easily with existing ERP solutions and complement ILOG’s advanced planning and scheduling software."
According to Brock Cummings, senior supply chain analyst at World Kitchen LLC —a long-time user of ILOG tools, “Since upgrading to the new release of ILOG Inventory Analyst, we have seen significant improvements in ease of use and integration. The new scenario wizard and data store import functions have reduced the extract, transform and load time by more than 75 percent. Our safety stock solution includes our [SAP] ERP backbone, MS Access, Sharepoint, and ILOG Inventory Analyst.”





No comments
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by...
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
Additive manufacturing benefits; HMI and sensor tips; System integrator advice; Innovations from the industry
Robotic safety, collaboration, standards; DCS migration tips; IT/OT convergence; 2017 Control Engineering Salary and Career Survey
Integrated mobility; Artificial intelligence; Predictive motion control; Sensors and control system inputs; Asset Management; Cybersecurity
Featured articles highlight technologies that enable the Industrial Internet of Things, IIoT-related products and strategies to get data more easily to the user.
This article collection contains several articles on how automation and controls are helping human-machine interface (HMI) hardware and software advance.
This digital report will explore several aspects of how IIoT will transform manufacturing in the coming years.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

Infrastructure for natural gas expansion; Artificial lift methods; Disruptive technology and fugitive gas emissions
Mobility as the means to offshore innovation; Preventing another Deepwater Horizon; ROVs as subsea robots; SCADA and the radio spectrum
Future of oil and gas projects; Reservoir models; The importance of SCADA to oil and gas
Automation Engineer; Wood Group
System Integrator; Cross Integrated Systems Group
Jose S. Vasquez, Jr.
Fire & Life Safety Engineer; Technip USA Inc.
This course focuses on climate analysis, appropriateness of cooling system selection, and combining cooling systems.
This course will help identify and reveal electrical hazards and identify the solutions to implementing and maintaining a safe work environment.
This course explains how maintaining power and communication systems through emergency power-generation systems is critical.
click me