IBM Decision Optimization
aeortiz 2700024WMF Tags:  in virtal commerce supply chain scm linked optimization linkedin user group ilog ibm management 4,568 Views
Join our monthly IBM ILOG Supply Chain Management Virtual User Group (VUG) sessions. These 1-hour meetings are a quick way to brush up on your IBM ILOG supply chain modeling skills, meet other people using the products, ask questions to the community, and learn about what's new. These sessions will be led by our experts and have plenty of time for discussions and Q&A.
May 4th 2001:
Topic: "Applying Supply Chain Analytics: Benefits of a Central Group"
This talk addresses the value firms can achieve by deploying advanced supply chain analytics and how a group should be structured. We will use case studies and recent events to highlight the value from business analytics such as network and inventory optimization. We will discuss how 3M Corporation is organized to deploy this capability.
Join our LinkedIn Community to receive updates, more detailed information, and Dial-up/Web Meeting access.
May 4th - Wednesday
June 1st - Wednesday
August 2nd - Tuesday
September 1st - Thursday
October 7th - Friday
November 2nd - Wednesday
December 2nd - Friday
We are hosting a supply chain users group in San Diego on Sept 26, 2010 just prior to the start of the annual CSCMP Conference. The users group meeting will take place in the same location as the CSCMP event.
For more information on the event, please click here.
We are still finalizing the agenda. If you would like to speak or have ideas on what we should cover, please let us know.
We received a lot of good feedback from the virtual users group meetings in 2010. These 1-hours meetings are a quick way to brush up on your IBM ILOG supply chain modeling skills, meet other people using the products, ask questions to the community, and learn about what's new. These sessions will be led by our experts and have plenty of time for discussions and Q&A.
Like last year, we are open for ideas for sessions. Please send us your ideas. If you are not on the invite list for the events, please let us know and we'll make sure we add you.
Here is the schedule for 2011. The times will be announced closer to the meeting in the invite.
February 1st - Tuesday. Topic: Transportation Optimization Capabilities in relation to Network Design
March 1st - Wednesday. Topic: Advanced Tableau Capabilities
April 1st - Friday
May 4th - Wednesday
June 1st - Wednesday
August 2nd - Tuesday
September 1st - Thursday
October 7th - Friday
November 2nd - Wednesday
December 2nd - Friday
These dates may be subject to change. We look forward to seeing you at the meetings.
The virtual users group is a quick way to brush up on your IBM ILOG supply chain modeling skills, meet other people using the products, ask questions to the community, and learn about what's new. These sessions will be led by our experts and have plenty of time for discussions and Q&A.
Oct 28, 2010 Session (2:00 - 3:00 CST): Reporting and Mapping.
Nov 30, 2010 Session (12:00 - 1:00 CST): Transportation and Baseline Modeling
Dec 15, 2010 Session (2:00 - 3:00 CST): Efficient Model Set-up and Maintenance
Please contact us with any questions about the events or suggestions for future topics.
MichaelWatson 270002K5FS Tags:  analytics scm retail supply_chain ilog optimization 4,191 Views
Yesterday, IBM published its 2009 annual report. In the Letter From the Chairman, IBM lays out its growth opportunities for 2010. It lists fours strategic areas for investment. Analytics and Smarter Planet are two of those four areas.
For Analytics, there is great amount of data available and organizations who take advantage of this information will unlock tremendous value. The letter notes:
IBM is moving quickly to capitalize on this promise. We have built the industry’s premier analytics practice, with 4,000 consultants, mathematicians and researchers, as well as leading-edge software capabilities
Of course, this fits with the opportunity IBM sees with its Smarter Planet initiative. In fact, the letter points out some benefits retailers have seen.
Four leading retailers have reduced supply chain costs by up to 30 percent, reduced inventory levels by up to 25 percent, and increased sales up to 10 percent. They’ve done so by analyzing customer buying behaviors, aligning merchandising assortments with demand and building end-to-end visibility across their entire supply chain.
A good example of how this IBM strategy comes together is through our shelf space optimization solution. In this solution, we help retailers place their products in the right place in the store-- from how the store should be laid out, how much space should be given to each products, and where the products should be on the shelf (for example, determining which products are at eye-level). This solution leverages our advanced optimization capability (to determine the placement), our advanced statistical capability (to predict and analyze detailed sales data), and our rules technology (to maintain the system since different regions and stores may be unique in their requirements).
Last week I attended AMR's annual conference in Phoenix and was proud (as a new IBMer) to see IBM announced as #4 in AMR's 2009 Supply Chain Top 25. Per the list
As we continue to integrate into the larger IBM family, I certainly hope that the tools, experience, and people that ILOG brings will only strengthen IBM's supply chain abilities and we can look forward to improving our position on this list in the future.
In addition to announcing the Top 25 list, there were a series of interesting presentations from industry leaders as well as AMR analysts on a number of hot topics in supply chain. In particular, I took a lot from sessions on supply chain risk, and supply chain sustainability. I hope to follow up with specific posts on those topics very soon.
MichaelWatson 270002K5FS Tags:  supply_chain ilog tms order_management demandtec emptoris 3,922 Views
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:
aeortiz 2700024WMF Tags:  analytics financial optimization london management optimisation services ibm banking ilog uki portfolio smarter_commerce finance asset 5,161 Views
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
IBM R&D Report Highlights the Value of Network Modeling-- 25% reduction in costs, 15% recduction in CO2
A recent brochure from IBM Research noted that "for the last 60 years, Research has been one of IBM's key differentiators in the marketplace, making the kind of discoveries that shape the future of business, government, academia, and society."
This brochure highlights work ranging from improved water management, to traffic management, to sensing complications in premature infants before they happen. This report also highlights the value of strategic network modeling.
The report highlights the work IBM did with the Chinese shipping giant, COSCO. They were able to reduce the number of distribution centers from 100 to 40, reduce logistics costs by 25%, and reduce CO2 emissions by 15%.
The image shows the conceptual view of the before and after of the supply chain.
Many firms are able to find savings like this through strategic network design studies.
For more details on some of IBM's software capabilities in strategic network design be sure to watch our two part (15 minute total) video: part one and part two.
Beginning September 2009 the IBM Supply Chain Symposium & User Conference (formerly the LogicTools Supply Chain Excellence Symposium & User Conference) is coming to a location near you:
Smarter SCM Chicago: Tuesday, September 29th
These one-day conferences for business executives and supply chain practitioners will focus on both the strategic and tactical decisions that are impacted by the current business environment. Thought leaders from industry and academia will discuss the challenges and circumstances that are driving the need for business solutions that optimize overall supply chain costs, free up working capital, and improve service levels.
Stay tuned for registration information and details. Follow us on Twitter using hash tag #smarterscm.
MichaelWatson 270002K5FS 3,249 Views
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.
This week, SupplyChainDigest ran an article about IBM's supply chain. This article noted:
Somewhat quietly, IBM is building a formidable portfolio of supply chain software solutions that has the potential to shake up the existing market.
Also, the article noted IBM's existing solutions in network optimization, inventory optimization, and factory scheduling and that "IBM has been very aggressive in promoting these solutions, such as by adapting them for new opportunities into the retail sector."
MichaelWatson 270002K5FS Tags:  risk_analysis ilog scenario_analysis optimization inventory_optimization analytics 6,646 Views
IBM recently came out with its annual "Next Five in Five" report highlighting five innovation predictions for the next five years. One article that picked up the story pointed out:
IBM, the world's largest provider of computer services, is one of the few big corporations investing in long-range research projects and invested $5.8 billion in research and development last year, accounting for 6.1% of revenue, according to the company's financials.
This investment in research helps benefit our supply chain clients. For example, IBM recently came out with a new study and white paper, "New Rules for a New Decade: A Vision for Smarter Supply Chain Management." SupplyChainDigest picked up the story and provides a nice summary in addition to the IBM material. The study found that supply chain visionaries have significantly better financial returns by more quickly predicting demand and optimizing and analyzing their supply chain to take advantage of this in closer to real-time. The chart below summarizes the key capabilities of different types of supply chain organization. Of course, there are significant advantages to getting your supply chain to the "Planners" level.
This blog has discussed some of the key supply chain capabilities pointed out by this study. For example, we've highlighted the importance of network distribution planning, enterprise S&OP, using business intelligence and analytics, optimizing inventory, optimizing cost and the global network-- highlighted by examples at MillerCoors and Armstrong.
Inbound Logistics covered another study from one of IBM's recent acquisitions, Sterling Commerce-- who adds TMS, WMS, Yard Management, and Supply Chain Visibility to IBM's portfolio. Inbound Logistics interviewed Richard Douglas from Sterling at the annual CSCMP conference in San Diego. Here is a small excerpt from interview, discussing the importance of dealing with volatility and sourcing decisions:
Overall, IBM is investing heavily in supply chain thought leadership to help our clients run better supply chains.
Consumer Products companies (and others) face pressure to reduce costs, have customers demanding better availability, and have an ever-expanding global supply chain. In this environment, managing inventory is difficult. However, by optimizing inventory by determining the best buffers, the location of the push/pull boundaries, and the correct amount of inventory and safety stock at each location for each SKU.
To address these needs, IBM has pulled together a solution to help firms optimize inventory on an on-going basis. This solution pulls together IBM's optimization technology (IBM ILOG Inventory and Product Flow Analyst), our expertise in inventory optimization, our expertise in integration to ERP systems, and other capabilities such as SPSS's predictive analytics. Click here for a paper on this solution.
The benefits of inventory optimization can be significant:
The result of a typical strategic network design study, often yields the opening of new warehouses and new manufacturing plants. IBM's LogicNet Plus XE helps companies determine these locations. For large supply chains, the optimization of the number and locations of a facilities can impact hundreds of millions of dollars of cost. LogicNet Plus XE helps make sure you make these decisions correctly. Click here for a video overview of LogicNet Plus XE.
Implementing the new sites is a critical step in realizing savings. IBM's TRIRIGA software solution helps companies get the new sites up and running (and keeps them running efficiently.). TRIRIGA is a solution that manages the bid process for picking the real estate, helps get the building built, the equipment moved in, and ensures that the site is running efficiently. TRIRIGA is a complete facilities management solution.
This is another good example of how IBM's growing software portfolio can help make firms more successful.