Solution ORTEC Inventory Routing
Inventory RoutingAn advanced solution for demand forecasting, stock replenishment and route planning and execution
Planners and Dispatchers KPIs and Planned vs actual
PDA/MDERP/TMS/WMS
TrackingTelemetryPlanning and optimization
Our solution delivers a competitive advantage that goes
beyond the capabilities of ERP, TMS or WMS systems.
Our solutionORTEC has years of experience working with a multitude of companies and
our commitment to delivering the best forecasting and routing solution
for the transport and logistics industry is unparalleled. Our client portfolio
includes a whole host of energy companies in the oil and gas sector, but also
chemical companies and logistics service providers (LSP). Our solutions are
extremely robust and different transportation methods are catered for: bulk/
liquid (compartmentalized and non-compartmentalized) and packed goods.
ORTEC’s demand planning and inventory routing solution is a powerful tool that
supports demand forecasting and route planning in a wide range of transport and
distribution planning sectors and distribution planning sectors where the number
of products is limited and the cost involved for the product or the delivery of the
product is high.
The challengeIn the dynamic environment of Energy logistics, punctuality, reliability and
customer focus are paramount. Businesses are faced with the ever-increasing
challenge of rising customer expectations, while safety regulations are becoming
stricter and customer loyalty is more and more difficult to retain. Furthermore,
there is a real need to combine forecasting, planning and execution so that
customers are delivered in time, transportation costs and drop sizes are balanced,
the workload is optimally spread across shifts and smart decisions can be made
for disturbances during the day based on real-time data. In order to stay ahead
of the game and meet these challenges full on, the use of advanced Transport
Management Systems and Advanced Planning and Scheduling applications is
essential. It is also extremely important to safeguard the cost effectiveness of
your operations given the competitive nature of the industry. Cooperation between
business units and within the supply chain and a centralized ICT philosophy
are vital in order to remain cost efficient. However, the most crucial factor is to
prioritize Return on Investment and to select a proven, fit-for-growth solution.
ORTEC Inventory Routing
ERP/TMS/WMS Real time feedback mobile devices
Actions
Actions
Status/Actual data
Invoicing
Customer historictransactions
Orders
Financial completion
ORTEC Inventory Routing
Online tracking application
Respin planning/completion
Planning/Dispatch
Actuals/Recalculation
Adapt to events
Reporting
Forecasting & order generation
Combine forecasting and route optimization with real-time execution and dispatch
Unique features • Combine demand forecasting, order generation and route
optimization with real-time execution and dispatch.
• Centralized, scalable architecture to support energy companies in the
oil and gas sector, but also chemical companies and logistics service
providers (LSP).
• Able to deal with requirements from all logistics areas: bulk/liquid
(compartmentalized and packed).
• Real-time event management with alerts for low inventory levels,
violated restrictions, data errors, issue/event messages and KPI
monitoring.
• A true multi-user, multi-environment,forecasting, real-time planning
and dispatch application in a 24/7 environment.
• Embedded forecasting and optimization techniques with multiple
options for decision support (pick up delivery, distribution rounds,
multi-product order generation, resource assignment, compartment
assignment and order adjustments to selected resource and
estimated time of arrival and optimal loading location).
• Flexible resource planning (i.e. truck, trailer, driver, axle weight,
compartment).
• Scheduler functionality to consider business variables, keep track of
customer status, resource locations and replenishment orders, and
to ensure that total multiday planning is responsive, while remaining
consistent.
• Trip reconciliation: possibility to reconcile finished trip and validate
actual trip details and deliveries made.
The scheduler and optimizers incorporate numerous business variables
Additional features• Integration facilities: ORTEC Inventory Routing (ORTEC IR)
is the dashboard of stock replenishment, trip planning
and execution. It combines all required data and is able
to integrate with mobile devices, telemetry, point of sales
data, ERP systems and and onsite equipment in order to
send and receive data relating to: historical and real-time
inventory levels, historical and real-time sales info, GPS
positions, address data, planned actions and confirmations
data.
• Congestion pattern data to ensure improved ETAs by taking
into account historic and real time traffic information.
• Flexible approach to time restrictions
(also incorporated in the optimization engine).
• Driving time regulations.
• Axle weight distribution.
• Hazardous routes, and length, width, height and weight
route restrictions.
• The ability to incorporate compartment planning within
capacity, ullage and axle restrictions.
• Product contamination and compartment flushing.
• Fleet cleaning and maintenance.
• Advanced forecasting algorithms (moving average,
seasonal profiles, degree days, exponential smoothing):
These methods are evaluated automatically and the best
method is chosen for the forecast, which enables the
dispatcher to be more proactive and look beyond the real-
time execution data. This leads to more accurate planned
delivery times and volumes and a more balanced workload.
Automated safety stock update based on the historical
usage of the product on the sites.
• Support several types of tank combinations like combined
usage, manifold and main-reserve.
• In order to facilitate a smooth integration between ORTEC
IR and your existing architecture / ICT environment, ORTEC
offers a separate integration layer - ORTEC Message Hub.
• Interface with several ERP systems.
• Road feature editor: This module eanbels you to block roads
and adjust road attributes like maximum allowed weights.
• Security levels and changes: System security levels can
be set in order to restrict multiple users from viewing and
changing certain data or planning information.
• Integration of the results of ORTEC Supply Chain Design
(ORTEC SCD): An unique feature is the integration of
ORTEC IR with our strategic solution ORTEC SCD. ORTEC
SCD can allocate customers to depots in the most efficient
way taking into account i.e. depot product stock, third party
supply contracts and customer usage. This solution uses
the customer and depot information from ORTEC IR and
the result of the customer assignment to depots is used
during routing in ORTEC IR.
ORTEC Inventory Routing enables us to deliver greater customer value and transparency,
while reducing overall costs.
Impression of the Inventory Routing user interface
• Subcontractor payments using deviation reports: ORTEC IR can store sub-
contractor agreements for planned routes as baselines and then use actual
execution information to produce reports that highlight any deviations.
• GPS-based tracking and ETA recalculation, as well as the comparison of
planned routes vs. actual routes driven.
• Customer Portal: Data from ORTEC IR can be seamlessly integrated with client’s
customer portal to show specific information such as order status (planned, due
for delivery etc), entering stock measurements or showing realised deliveries.
• Load assignment: Loading different products in compartmentalized vehicles is a
real challenge, especially when driving restrictions, such as axle weights, vehicle
stability and different compartment sizes, have to be respected. For this, ORTEC
developed a sophisticated load assignment algorithm that meets business
requirements and optimizes the volume assigned during route planning.
ORTEC offers a web client that receives pushed real-time data
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Your benefits
Results• Enhanced forecasting capabilities lead to improvements in average drop size,
an elimination of out-of-stock situations, a reduction in oversized deliveries and
product returns, and a reduction in long term distribution costs.
• Balancing (seasonal) demand, balancing workload and prioritizing of ‘must-go’ /
‘may-go’ orders.
• Horizontal cooperation increases because business units can share orders and
resources.
• Vertical cooperation increases because customers, dispatchers, customer service
and sales all have access to the same information, which can help to increase
efficiency.
• Centralized planning reduces the number of empty miles leading to a reduction in
CO2 emissions.
• Our solution approach ensures that clients will be up to date with the latest,
innovative IT trends, business features and optimizers.
• Centralized deployment brings cost savings because only one application is
maintained, with a single interface between ERP/TMS applications, in-vehicle
devices and onsite equipment.
• Transport costs decrease as a result of better planned delivery moments and
quantities, reduced distances, driving time and vehicle utilization.
• Reduction in time required to plan and dispatch.
• Route planning and vehicle costs are more transparent.
• Quick simulation of alternate planning scenarios and delivery strategies in order to
determine the best product mix, which results in lower stocks.
• Reporting and analytics module based on Microsoft SQL server reporting services.
• Improved customer service due to automatic inclusion of requests and limitations.
• Strong ROI cases and references from the US, Europe and Asia Pacific.
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