What It Does:

• Create optimal plan for procuring raw materials, parts and components from supplier facilities to customer facilities (plants) in order to meet production plans for finished products
• Minimize landed cost (procurement and inbound shipment costs) and inventory carrying of raw materials/parts/components subject to meeting plant-wise production plans, requirements as per bill-of-materials, safety stock targets, share-of-business and other terms of supplier contracts, and achieving high utilization of production assets
• Run large scale mixed-integer linear programming model with millions of variables in quick time
• Facilitate ‘what-if’ analysis with multiple scenarios
• Validate input data, resolve infeasibilities, and display violations of production plans, supplier contract terms, capacity and other constraints
• Report performance metrics such as production requitement fulfillment rate, procurement and inbound transportation costs, inventory carrying cost, utilization of production assets
• Align procurement, production and logistics teams with common business objectives and facilitate inter-functional collaboration