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The biggest “Big Data” myth is that data itself is valuable. Unfortunately, big data doesn't provide solutions, it simply creates more options—and most businesses are already overwhelmed with options. Making calculated decisions about which options maximize efficiency is the challenge…and efficiency is a puzzle. As permutations increase, so does complexity. But the harder the puzzle, the closer you are to real competitive advantage. The speaker will present a five-step road map to value: calculated decisions.
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BIG CALCULATIONSthe key to solving the efficiency puzzle
the key to solving the efficiency puzzle
the key to solving the efficiency puzzle
BIGCALCULATIONS
TC Baker, Director of Sales North America
3© 2014 Quintiq
“How fast you are moving is more important than where you are.”
- Guy Kawasaki, Rules for Revolutionaries
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“The past is only open to interpretation. The present is fleeting. The future can be shaped.”
- Frank Appel, DHL Deutsche Post
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5© 2014 Quintiq
“'If we get it right, New York to Tokyo could be less than an hour.”
- Sr. Richard Branson
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“The U.S. stock market (is) a class system, rooted in speed, of haves and have-nots. The haves paid for nanoseconds; the have-nots had no idea that a nanosecond had value.”
- Michael Lewis, Flash Boys
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7
8© 2014 Quintiq© 2014 Quintiq 8
9© 2014 Quintiq© 2014 Quintiq 9
10© 2014 Quintiq
“Big Calculations”is the act of optimizing your business in real-time
to achieve fast and efficient results.
© 2014 Quintiq 10
DATA KNOWLEDGEDECISION SUPPORT
OPTIMIZATIONINFORMATION
BIGDATA
BIGCALCULATIONS
TIME MILLISECONDSNONE
CALCULATIONS NONE
SECONDS
SIMPLEPATTERN
RECOGNITIONOPTIMIZATION
DYNAMICOPTIMIZATION
HOURSPERIODIC
Data value spectrum
© 2014 Quintiq 11
DATA KNOWLEDGEDECISION SUPPORT
OPTIMIZATIONINFORMATION
BIGDATA
BIGCALCULATIONS
TIME MILLISECONDSNONE
CALCULATIONS NONE
SECONDS
SIMPLEPATTERN
RECOGNITIONOPTIMIZATION
DYNAMICOPTIMIZATION
HOURSPERIODIC
Data value spectrum
12
13© 2014 Quintiq
WORKFORCE
MANUFACTURING
LOGISTICS
Task data
Buy/sell data
GIS data
Compliance report
Demand/supply report
Traffic patterns
Task norms
Demandforecasting
Predicted traffic patterns
Rosters/schedules
S&OP
Logistics plans
Real-time workforce planning
Real-time S&OP
Real-time transport planning
DATA KNOWLEDGEDECISION SUPPORT
OPTIMIZATIONINFORMATION
BIGDATA
BIGCALCULATIONS
TIME MILLISECONDSNONE
CALCULATIONS NONE
SECONDS
SIMPLEPATTERN
RECOGNITIONOPTIMIZATION
DYNAMICOPTIMIZATION
HOURSPERIODIC
© 2014 Quintiq
Data value spectrum
13
DATA KNOWLEDGEDECISION SUPPORT
OPTIMIZATIONINFORMATION
BIGDATA
BIGCALCULATIONS
WORKFORCE
MANUFACTURING
LOGISTICS
Task data
Stock/buy/sell/process data
GIS data
Compliance report
Demand/supply/process report
Traffic patterns
Task norms
Demand prediction, process knowledge
Predicted traffic patterns
Rosters/schedules
S&OP planning
Logistics plans
Real-time workforce planning
Real-time S&OP
Real-time transport planning
Database &
Storage
Business Intelligence
&ERP
SCP&O
TIME MILLISECONDSNONE
CALCULATIONS NONE
SECONDS
SIMPLEPATTERN
RECOGNITIONOPTIMIZATION
DYNAMICOPTIMIZATION
HOURSPERIODIC
© 2014 Quintiq
Data value spectrum
14
WORKFORCE
MANUFACTURING
LOGISTICS
Task data
Stock/buy/sell/process data
GIS data
Compliance report
Demand/supply/process report
Traffic patterns
Task norms
Demand prediction, process knowledge
Predicted traffic patterns
Rosters/schedules
S&OP planning
Logistics plans
Real-time workforce planning
Real-time S&OP
Real-time transport planning
Database &
Storage
Business Intelligence
ERP
SCP&O
DATA KNOWLEDGEDECISION SUPPORT
OPTIMIZATIONINFORMATION
BIGDATA
BIGCALCULATIONS
TIME MILLISECONDSNONE
CALCULATIONS NONE
SECONDS
SIMPLEPATTERN
RECOGNITIONOPTIMIZATION
DYNAMICOPTIMIZATION
HOURSPERIODIC
Database &
StorageSCP&O
Business Intelligence
&ERP
What makes it difficult to optimize?
© 2014 Quintiq
Data value spectrum
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Long campaigns
Individual ordersTake-out delivery
Scheduled delivery
Shift 2
Shift 1
Shift 3
Fixed shifts
Dynamic schedule
Haste makes wasteCHALLENGE #1
© 2014 Quintiq 16
The butterfly effectCHALLENGE #2
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“Everyone has a plan until they get punched! ”- Mike Tyson
Major disruptionsCHALLENGE #3
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“Everyone has a plan until they get punched! ”- Mike Tyson
Buzz Lightyear effectCHALLENGE #4
“To infinity and beyond! (infinite options of course)”- Buzz Lightyear
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20© 2014 Quintiq 20© 2014 Quintiq
Steps to deliver “Calculated Decisions” and BIG value
Select Define Model Measure
Strategic goals
Planning decisions
Supply chain
PlanningKPIs
Optimize
Real-time planning
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SELECTDemurrage Tons per shift / person
DEFINECreate loading rotation Assign berthsAssign resources
MODELCranes, birthsStock piles, conveyors
MEASUREThis week’s demurrageThis week’s productivity
OPTIMIZETwenty Foot Equivalent Unit/acre
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SELECTSupply fulfillment
DEFINEForecast heads by type and gradeProduction plan
MODELCut treeConversionsOrder fulfillment priorities
MEASURESupply utilization %
OPTIMIZEProduct fulfillmentReal-time ATP/CTP
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SELECTTons produced
DEFINESequences, tank assignments“Machine” assignmentsLine assignments
MODELChangeoversRestrictionsDuration
MEASURETons / hourLost time
OPTIMIZEAsset utilization
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1
Route plan
Dri ve r 00 3
Dri ve r 00 3
Route planRoute plan
Driver 003
SELECTOutbound on-timeInbound on-timeEmpty miles
DEFINEassign trip to drivers
MODELTime windowsDriver rules (11, 14, 70) etc.
MEASURE24 hour KPIs
OPTIMIZETotal mileage
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29© 2014 Quintiq 29
Driver 003
SELECTOTIFInventory Productivity
DEFINEFurnace batchingHot-mill sequencingCampaignsFinishing flow
MODELWidth jumpsGauge jumpsCool down
MEASURELate orders w/ingot not scheduled
OPTIMIZEAvailability and cost
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“Big Calculations”is the act of optimizing your business in real-time
to achieve fast and efficient results.
© 2014 Quintiq 31
32© 2014 Quintiq
Questions?
THANK YOU
TC Baker, Director of Sales North America
33© 2014 Quintiq 33© 2014 Quintiq
Quintiq World Tour: PhiladelphiaCo-hosted by:
When
8 A.M. – 7 P.M.
October 15, 2014
Where
Cira Centre
2929 Arch St
Philadelphia
Hear from speakers such as:
Bart Pieper, Marquis Management
Marc Bombet, Western Digital
Brian Blodgett, American Public University System
Ben Campbell, Glencore
Register today:
www.quintiq.com/world-tour/philadelphia-usa.html
Discover how smart planning is taking the world’s most successful companies to the next level