Chicago October 26, 2001 LogicTools today rolled out version 4.0 of its LogicChain application, which sports a redesigned interface and new profit optimization capabilities.
Companies use LogicChain to plan production and inventory levels based on seasonal, promotional or other demand fluctuations. LogicTools says LogicChain can assist users with the "what-if" analysis for evaluating trade-offs in order to avoid disruption in the production process while maintaining or increasing service levels. The software helps companies integrate production, inventory and transportation decisions across the supply chain.
LogicChain 4.0 includes tools for optimizing for profit maximization based on revenue per customer. This allows companies to not only look at how to minimize costs in their supply chain but also to evaluate specific customers and regions and adjust prices so as to serve customers profitably.
"LogicChain allows companies to match supply capacities and demand forecasts with logistics capabilities in order to determine the right price and strategy for serving customers," said Edith Simchi-Levi, vice president of operations at LogicTools. "Planned activities, such as promotions, can be analyzed in detail so that the price and availability are commensurate with each other."
Other features include flexible time periods and extensive production modeling capabilities.
Paige Greve, partner in the supply chain strategy group at PriceWaterhouseCoopers, said, "LogicChain is one of the few tools in the market that combine manufacturing and distribution constraints in a single modeling tool."
LogicTools' solutions have revolutionized the market by eliminating complex, expensive and customized software implementations on the one hand and limited spreadsheet analysis on the other. Providing the capability to optimize the supply chain results not only in significant savings, 5 to 10 percent are typical, but also a clarity of vision and better understanding of the various trade-offs.
LogicTools customers include ConAgra, Cap Gemini Ernst &Young, General Motors, Kraft Foods, PriceWaterhouseCoopers, Scotts Co. and USCO Logistics.