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Network Design and Planning Solution Targets Global Supply Chains
LogicNet Plus 6.0 XE adds capabilities for companies dealing with complex, international supply chains; ease-of-use updates allow more frequent network assessment


Sunnyvale, CA — November 19, 2007 — Solution provider ILOG has debuted the latest version of its network design and planning solution, adding support for companies with global supply chains as well as ease-of-use improvements to help supply chain managers more frequently reassess their supply chain networks.

LogicNet Plus XE is a network design and planning solution that combines optimization technology with a graphical user interface to manage complex supply chains. The solution enables the analysis of the tradeoffs between production, warehousing, transportation costs and service requirements, as well as calculation of the optimal network configuration for different cost and service objectives.

The new LogicNet Plus XE 6.0, available now, includes greater support for more complex, international supply chains, as well as performance improvements and a scenario simulator that automates scenario comparisons, allowing supply chain managers to model the business impact of changes in their supply chain before they deploy them, ILOG said.

More Strategic Approach

The new capabilities come at a time when companies face newly complex, extended supply chains. In response, many companies have begun to use network design tools more strategically and more frequently, according to David Simchi-Levi, an ILOG consultant and co-founder of the LogicTools unit of ILOG that developed the LogicNet Plus solution.

For example, as companies have merged and sought to bring together their supply chains, they have begun using tools like LogicNet Plus to decide how to best accomplish the new, united supply chain. In addition, some companies have sought to use a network design approach to rationalize their supply chains for cost, or to reconfigure their networks to minimize the impact of oil price increases or transportation capacity constraints, Simchi-Levi said.

Other companies are using the design and optimization tools as part of their risk management process, pricing out the cost of building varying levels of redundancy into their supply chains, or as part of a "green supply chain" strategy. "Companies are using network design to compare different networks based on their carbon footprint," Simchi-Levi said, adding that high carbon emissions are coming to be viewed as one sign of low supply chain efficiency.

Faster Optimization

The new version of LogicNet Plus enables simultaneous network design and production sourcing or asset planning optimization taking into account seasonality and inventory requirements over time. Version 6.0 includes new international features to handle multiple currencies, unique tariff structures and other constraints imposed by European transportation carriers.
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