Optimization is not the only algorithmic tool that supply chain companies need to solve their planning and decision-making problems.More May 2, 2019
Does Your Optimization Solution Improve Both Productivity and Compliance?
In today’s fast-paced and hypercompetitive business world, in the rush to produce goods and deliver services as quickly as possible, companies are often tripped up by thorny compliance issues.
I see the same situation over and over again: Businesses are looking to optimize their operations and maximize productivity and profits, but fail to take compliance issues into account. This winds up costing them in the end as they are ultimately unable to deliver quality to their customers.
Ensuring compliance – with external, industry regulations and standards as well as internal policies and practices – is one of the cornerstones of any successful business operation. In order for a company to achieve true and total optimization of its business processes, compliance issues must be factored into the equation.
In my experience, compliance issues most commonly arise in the manufacturing industry, and are often due to difficulties such as obtaining the necessary documentation or parts certification, ensuring the availability of employees who have been certified to perform certain tasks, and adhering to complex safety regulations.
For companies facing these types of tricky compliance issues, there’s no point in striving to achieve optimization and to attain a perfect balance of supply and demand if the parts they are producing cannot be used due to certification issues or if no qualified employees are available to replace a particular part at a given time.
When shopping around for an advanced planning and scheduling (APS) and supply chain optimization solution, it is vital to make sure that the software platform your company selects will enable you to generate optimal productivity and profitability while maintaining compliance with constantly changing external and internal regulations. With ICRON, you are able to do this, easily and effectively.
One of the main features of ICRON’s solution is its Graphical Scheduling Algorithmic Modeling System (GSAMS), a powerful visual supply chain modeling tool through which users can define planning logic based on their company’s unique business processes and constraints – including compliance issues.
With its Graphical User Interface and object-based navigation, GSAMS allows users to quickly construct and modify processes that feed the mathematical optimization layer of the ICRON solution. GSAMS enables process-based optimization (rather than transactional-based optimization) and gives users the ability to enter constraints (such as compliance issues) within or between processes – and thus, compliance is guaranteed.
Many customers, including the Belgian police in the city of Antwerp, have utilized this compliance feature of ICRON’s software. With ICRON, it’s possible for businesses to ensure compliance as well as increased productivity and profitability, and thereby achieve true optimization of their operations.