ToolsGroup, a vendor of software for inventory optimization, has introduced a supply-chain planning (SCP) application, which incorporates probabilistic modeling across all main planning functions. The SO99+ SCP software package sidesteps the traditional use of deterministic advanced planning and scheduling, which can fail to mirror real-life supply-chain behavior due to such random factors as shorter product lifecycles, product promotions, longer supply lines and economic uncertainty, ToolsGroup said. Nor does the application rely on probabilistic modeling by way of a separate inventory optimization module, an approach that can be of some help but still leads to excessive manual expediting. The new product allows for the probabilistic (stochastic) nature of the supply chain to be integrally modeled in all SCP functions, including demand forecasting and planning, inventory management and optimization, replenishment and transportation planning. A tightly integrated probabilistic backbone avoids the need for constant "tweaking" to accommodate the randomness of the supply chain, the vendor said. In addition, the application helps users to deal with the problem of intermittent demand, caused in part by product proliferation and shorter replenishment cycles. The new ToolsGroup product is available immediately, both as a perpetual license and in an on-demand version.
ToolsGroup