Come join us in a Technical Exchange with experts from the IBM ILOG Optimization and Supply Chain Support team.
When: June 12, 2013 at 08:00 Pacific, 11:00 Eastern, 17:00 CET
Format: Webinar (see link for details: http://www-947.ibm.com/support/entry/portal/scheduled_tech_exchange_detail/software/websphere/websphere_brand_support_%28general%29?exchangeDetailKey=B131663R06854P64 )
Numerical difficulty is a common issue that occurs with CPLEX applications. While there are algorithms in CPLEX that can help address this at some level, this presentation focuses on separate techniques that the modeller can use to improve performance when working with real-world, noisy data.
About Technical Exchanges
IBM Support technical experts share their knowledge and then answer your questions to help you take full advantage of your product. The sessions are designed to address specific technical issues and provide in-depth but narrowly focused training in convenient, live 1-2 hour web seminars.
IBM Decision Optimization
June 12: Technical Exchange with experts from the IBM ILOG Decision Optimization and Supply Chain Support team
Come join us in a Technical Exchange with experts from the IBM ILOG Optimization and Supply Chain Support team.
aeortiz 2700024WMF Tags:  technology what-if ilog optimization redbook scenarios scheduling odm odme planners enterprise ibm best decision 2,738 Visits
Want to build more effective business applications using
optimization? Check out the new IBM Redbook Optimization and Decision
Support Design Guide: Using IBM ILOG Optimization Decision Manager. Down load the pdf at no charge from http://www.redbooks.ibm.com/redpieces/abstracts/sg248017.html?Open.
If you’ve ever tried to build an application that business decision makers can use, you know that having a good model of the system you want to manage isn’t enough. And while you need the best optimization solving technology, line-of-business managers and executives demand more. They want to see the data supporting the decisions, they want to try what-if scenarios to validate the proposed options, and they want planners and schedulers to collaborate across the corporate organizational lines. And if you want to deploy your solution, you need to satisfy a bunch of requirements and standards from your IT department.
The Design Guide addresses these issues with concrete guidance and practical examples derived from IBM’s long experience developing and deploying analytical decision support solutions in many organizations. Going beyond how to formulate good models, the Guide shows you how to design data integration, business user interfaces, client/server architectures, taking advantage of IBM’s ODM Enterprise to streamline development. The Guide illustrates the steps using a concrete example derived from a real-world logistics application. Plus the Guide explores two detailed case studies, one in manufacturing and the other from insurance.
Need to convince your management that optimization can work for your organization? The Design Guide can give you the credibility you need.
Down load the pdf at no charge from http://www.redbooks.ibm.com/redpieces/abstracts/sg248017.html?Open.
At this point in the holiday season, most supply chain professionals in the retail space are probably doing a lot more reacting than planning. Keeping the shelves stocked is likely priority #1,2, and 3, while things like cost and efficiency are farther down the list (if even on the list). With that said, I apologize for not writing this post 6 months ago when you may have been able to act, but perhaps this can be helpful for next year.
The holiday season provides many interesting optimization problems for those working in the retail supply chain. For many retailers, SKUs have short lifecycles and high variability. With these characteristics, it makes sense to try to centrally manage inventory in a small number of distribution centers. This allows them to risk pool the demand variability, keeping inventory and working capital as low as possible. During the non-peak season with lower sales volumes, regular (say weekly) replenishment can be planned in order to achieve transportation efficiency. Unfortunately, when the peak holiday season arrives, this strategy may not be ideal. Stores have limited ability to store product and sales velocity is high. With the goal of keeping the shelves full, they need frequent replenishment during the holiday season. If the retailer manages only a few DCs, there will be stores who are quite far away from the DCs, making it impossible (or very expensive through use of air freight) to replenish the store as frequently as necessary to prevent stockouts. Therefore, its quite possible a different distribution strategy may be called for during the holiday season. It may make sense to add seasonal distribution facilities to the network to get more product nearer to the stores. This type of strategy involves many decisions which all can be helped by using optimization:
A good strategy ahead of the holiday season is likely to result in less headaches and less costs when the season actually arrives.
DerekNelson 27000434XJ 2,055 Visits
Mike Watson discusses a recent Fortune article about Home Depot's turnaround in that last few years (stock up 150% since 2009). Their distribution network strategy was a major contributor.
aeortiz 2700024WMF Tags:  analytics financial optimization management london optimisation ibm services banking ilog portfolio uki smarter_commerce finance asset 2,861 Visits
Don't miss the IBM Optimisation Forum for Financial Services Sector at IBM South Bank, London, United Kingdom on 13th November, 2012
SCOPE AND FOCUS:
As banks and financial institutions start to emerge from a prolonged financial downturn, they face a host of challenges. Disruptive forces continue to ripple through the finance industry changing the market and impacting the businesses, such as:• New technologies
• New regulations
• New capital requirements
Optimisation technologies have become key tools in making important business decisions that increase competitive advantage. Optimisation, through the use of advanced mathematics and computer science techniques, is used to assist organisations with solving their complex business problems. The models which capture trade-off between optimum resource allocation and risk minimisation are gaining increasing importance in Banking, Portfolio Construction, Asset and Liability Management, Trade Settlement and Clearing and Cash Management. Recent developments and growing applications of quadratic optimisation, stochastic optimisation and robust optimisation in these domains and the role of modelling systems and solvers will be presented and discussed.
BENEFITS OF ATTENDING:Understand the role of optimisation in financial analytics and gain an understanding of the leading issues of financial analytics
Learn about the latest thinking and practices in the domain of Portfolio Optimisation and Asset and Liability Management
Learn how companies have been able to use optimisation technology to help determine how to most effectively allocate capital, balance business risks, uncover novel solutions for their customers and gain insights into their toughest challenges for maximum return with limited risk
WHO IS IT FOR?• Quantitative Analysts
• Credit Risk Analysts
• Financial Engineers
• Quantitative Developer
• Trade & Cash Solutions Managers/Analysts
• Corporate Treasurers
• Investment Managers/ Investment Strategists
• Financial Analysts
MichaelWatson 270002K5FS 1,895 Visits
One of the co-authors of the newly released book, Supply Chain Network Design*, Sara Lewis of IBM is speaking with Josh Buchanon of Dr Pepper at SCOPE in Dallas (Sept 9 - 11).
Here is the description of the talk from SCOPE's website:
“Dr. Pepper Snapple Makes the Most of their Supply Chain by Utilizing Network Design for Ongoing Sales and Operations Support”
· Supply Chain Network Design is not only a powerful business tool but if applied well can provide great value within all areas of your business.
Josh Buchanon, Packaged Beverage Network Optimization Manager, Dr. Pepper Snapple Group with Sara Lewis, IBM Smarter Commerce Supply Chain Marketing Lead, Co-Author ofSupply Chain Network Design: Applying Optimization and Analytics to the Global Supply Chain
* If you are reading this blog, you, your managers, and your internal and external customers should read this book. It will make you a better modeler, help you manage projects better, and help your customers better understand what you do and why it is important.
IBM's Smarter Commerce Summit will be held in Orlando, Sept 5-7, 2012.
"There’s no question that your customers are in charge. They have more information, more access, more influence. They’re savvy, and they’re smarter.
As a supply chain professional, you will get a lot out of the conference's many talks and keynote sessions. If you are an ILOG customer, some talks that may be of direct interest include:
A new case study is available showing how Südzucker, Europe's leading supplier of sugar products with an annual revenue of approximately €7 billion, uses IBM ILOG LogicNet Plus to help meet their goals of a cost-effective and flexible supply chain:
Here is a quick summary of the case:
A new case study is available highlighting how Johnson Controls uses LogicNet Plus to model and improve their closed-loop battery supply chain.
The following is a quote from Johnson Control's Supply Chain Network Strategy Manager, Chad Montgomery:
"I’m using LNP XE every week to perform modeling on a variety of projects from small capacity analysis/capital investment decisions to quarterly financial forecasting and annual budgeting for capacity utilization, plant manufacturing, and shipping territories. LNP XE has allowed us to create clear pictures of our network, starting with a best-case utopia state and then quantifying the impact of each constraint. This clarity can reveal hidden savings opportunities as well as gives complete insight into the main drivers of our supply chain”
Read the full case: Johnson Controls reduces supply chain spend with IBM ILOG LogicNet Plus.
We will host our June Virtual Users Group meeting on Jun 26 at 11 AM ET, 10 CT, 8 PT.
We will cover some new features in LogicNet Plus XE, some aspects of LogicNet Plus XE to improve your productivity, and review what is new with Inventory and Product Flow Analyst.
You should have received an invite by now. If not, contact us and we will make sure you get one.
Today, we announced the release of a new version of our multi-echelon inventory optimization product, Inventory and Product Flow Analyst (IPFA) v7.6
We have put a lot of investment in IPFA so that it fits within the workflow of an organization. That is, it is important to be able to answer strategic inventory optimization questions, but it is even more important to maintain the right inventory targets. You maintain these targets with strong work flow capabilities.
By maintaining the right inventory targets at all levels in the supply chain, you can avoid lost sales, minimize late shipments, minimize expediting, and keep inventory to a minimum. And, since IPFA directly accounts for demand forecast error and supply variability, you get value even when your forecasting is not very robust. For more details on the strategic importance of inventory optimization, click here.
At a the recent Manufacturing Leadership Summit, Toshiba gave the "Manufacturing Leadership 100 Award Winner Case Study Presentation." The talk was titled: "Using SCM to Create Competitive Advantage."
In the talk, they mentioned that they used IBM ILOG LogicNet Plus XE to model different options. Among the improvements that they saw, the cost per shipment decreased by more than 12%. In addition, obsolescence reduced by more than 40% and missed service calls reduced by more than 16%. This all helped lead to double digit growth in customer use of Toshiba Supply Chain Services.
The May 22, 2012 edition of the Wall Street Journal featured an article about manufacturing moving back to the US. (Click here for the article-- it may be restricted to subscribers). The article cited statistics from David Simchi-Levi of MIT stating that 39% of companies surveyed were considering moving production back to the US.
Of course, several factors were mentioned for this trend including changes in the relative cost of labor, the price of oil, and the ability to respond faster. Although not touched on in this article, making product closer to the demand can reduce the required inventory.
What is also interesting is that over the last 5 years, China has become a market where companies sell product. It used to be that companies just received product from China. Soon, firms found that their China plants were well-suited to cover the demand in China.
From a network design perspective, this brings up some interesting questions: should you make product for each region of the world in that region? Which products should you make in China and which ones in the US? And, what is the break-point for the price of labor and oil where it makes sense to move product from China to the US?
MichaelWatson 270002K5FS Tags:  supply_chain ilog tms order_management demandtec emptoris 2,328 Visits
IBM was recently named to Inbound Logistics Top 100 Logistics IT Providers. ILOG was acquired by IBM in 2009. Since then, IBM has dramatically increased its supply chain capability. some of this capability includes:
Click here for a YouTube video showing how ILOG's optimization technology can enhance Maximo's maintenance scheduling. Optimization is a great way to determine how to best allocate limited resources to get the most value. This video is a great example of how optimization can enhance an enterprise-wide business solution.