New partnership to offer supply chain network design services

Filed in archive Partnerships on April 11, 2009

It seems like, beside IBM and i2, new niche players are jumping into network optimization services: ChemLogix, a provider of logistics services, announced recently that it has formed a strategic alliance with Automated Decisions, to provide a Supply Chain Network Optimization Service to the chemical industry.

According to Chemical Online, Mr. Newton, a principal in Automated Decisions and one of the forces behind this alliance, has used award winning methodologies to generate strong supply chain improvements over the past 25+ years. The operations research modeling capability is led by Dr. Jeff Camm, Professor and Department Head, Department of Quantitative Analysis and Operations Management at the University of Cincinnati. Dr Camm is also the Editor-In-Chief of Interfaces, the Informs journal on the practice of operations research. Applying a combination of ChemLogix' expertise in Category Management and in-depth chemical industry knowledge together with the extensive expertise of ADC in optimization, this Network analysis service is focused on providing insights that lead to higher profits and cash flows in chemical supply chains.

Optimizing cash, which includes higher working capital costs and constrained availability of cash from both operations and financing, is essential in the new economic reality. In this type of modeling the potential economic impact is also well over 3% of sales. Overall working capital reductions of over 30% are common.