Supply Chain leaders should develop a structured approach to understand the financial impact of serving customers, determine the contribution margin, include the financial drivers as a primary variable in the analysis, and understand opportunities based on service capacity.\u200b<\/p>\n
River Logic\u2019s Digital Planning TwinTM<\/sup><\/span>\u00a0unveils the true profitability of each product. By creating an end-to-end analysis, companies can identify the right mix of products they should manage in their supply chain based on product profitability and capacity considerations.\u00a0 \u00a0<\/span><\/p>\n Identify the right mix of products the company should manage in their supply chain based on Product Profitability and Capacity Considerations<\/p>\n Increased productivity & margins<\/span>\u200b Understand financial impact of serving customers; determine the margin of contribution, includes financial drivers as a primary variable in the analysis, and understand opportunities based on service capacity.<\/p>\n Increased productivity & margins<\/span>\u200b Determine overall optimal inventory position and service levels given network and inventory conditions. Define an appropriate service level and how quickly can you satisfy your customers in line with keeping your costs in check.<\/p>\n Increased Inventory throughput River Logic can address these industry questions with industry answers:<\/p>\n A multi-billion dollar, globally integrated Mining and Chemical company operating almost two dozen mining sites and processing facilities with thousands of employees.<\/p>\n The primary product has about 20 code variations that are determined by purity, size, weight, and other chemical characteristics.<\/p>\n River Logic\u2019s Digital Planning Twin\u00a0TM<\/sup><\/span>\u00a0enabled Tronox to find:<\/p>\n McKee Foods is a Fortune 1000 manufacturer of consumer products that owns several well-known consumer brands and serves most segments of the North American market.\u00a0<\/span><\/p>\n McKee Foods built five models with River Logic:\u00a0<\/span><\/p>\n The ROI increased from 1,000% to 2,000%.<\/b><\/p>\n There was\u00a0$5M improvement in profit\u00a0<\/b>from medium-range and truck-loading models.<\/p>\n One plant manager recommended McKee Foods transfer an entire product line to another plant based on profit impact. Prior to River Logic, it was assumed that a plant capable of making a product should do so in order to serve customers close in proximity. This wasn\u2019t the case!<\/p>\n Models resulted in better and faster decisions and insights that transformed the way McKee Foods makes decisions. For example, management now understands that only a system-wide view of financials and operations\u2014one that includes business constraints\u2014yields the best decisions.<\/p>\n Transformational insights\u00a0<\/b>were uncovered by management.<\/p>\n One of the key values from River Logic is the ability to bring our functional teams data that they can make actionable\u2026We want them to understand the opportunity cost of producing and selling one more or one less of that product, and River Logic enables that for us.\u201d<\/i>\u00a0\u00a0\u00a0\u200b<\/p>\n Lewis Belknap, VP Planning, McKee<\/i>\u00a0\u200b<\/p>\n<\/blockquote>\n At River Logic, we understand the industry. Knowing the market allows us to bring value. River Logic can address these industry questions with industry answers. The foundation of our technology is a digital planning twin of your end-to-end business as it exists today \u2014 including all financial complexities, constraints, and KPIs. Powered by optimization, you can run unlimited strategic, tactical, and operational scenarios to balance complex trade-offs and maximize the value of your decisions.<\/p>\n River Logic enables connected decision-making across the enterprise, empowering supply chain executives to have a strategic view of the business that extends to the tactical and operational levels of planning\u00a0\u00a0<\/span><\/b><\/p>\n That is why we are: REAL DECISIONS. OPTIMIZED.<\/p>","protected":false},"excerpt":{"rendered":" Supply Chain leaders should develop a structured approach to understand the financial impact of serving customers, determine the contribution margin, …<\/p>","protected":false},"author":1,"featured_media":4359,"menu_order":0,"template":"","format":"standard","meta":{"footnotes":""},"portfolio_category":[308,312,310,311,313],"portfolio_skills":[],"portfolio_tags":[],"class_list":["post-4357","avada_portfolio","type-avada_portfolio","status-publish","format-standard","has-post-thumbnail","hentry","portfolio_category-blog","portfolio_category-business-continuity","portfolio_category-financial-modeling","portfolio_category-ibp","portfolio_category-vco"],"yoast_head":"\nKey Decisions<\/h2>\n
Portfolio Optimization<\/strong><\/h3>\n
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Value Identified<\/strong><\/h4>\n
\nIncreased production throughput<\/span>\u200b
\nDecreased operational costs<\/p>\n<\/blockquote>\nCost to Serve\u00a0<\/strong><\/h3>\n
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Value Identified<\/strong><\/h4>\n
\nIncreased margins (ultimately increased structural EBITDA and increased free cash flow)<\/span>\u200b<\/p>\n<\/blockquote>\nService Level Strategy<\/strong><\/h3>\n
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Value Identified<\/strong><\/h4>\n
\n<\/span>Increased Return On Assets
\n<\/span>Decreased Working Capital<\/span>\u00a0<\/span>\u200b<\/span><\/p>\n<\/blockquote>\nQuestions<\/b><\/h2>\n
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Real Wins:\u00a0<\/span><\/b>Tronox<\/b><\/h2>\n
The Challenge<\/b><\/h3>\n
The Solution<\/b><\/h3>\n
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The Impact<\/b><\/h3>\n
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Real Wins:\u00a0<\/span><\/b>McKee Foods\u00a0<\/span><\/b><\/h2>\n
The Challenge<\/b><\/h3>\n
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The Solution<\/b><\/h3>\n
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The Impact<\/b><\/h3>\n
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The River Logic Difference<\/b><\/h2>\n