DC Velocity - April 2016

Business analytics software developer FusionOps has launched what it called a “prescriptive analytics” tool that it says leverages big data to help businesses make better supply chain decisions.

The Mountain View, Calif.-based company said it would offer the analytics tool as an extension of its cloud-based business intelligence platform used by such customers as Columbia Sportswear Co., wholesaler H.D. Smith, and pharmaceutical giant Merck & Co.

Analytics is a fast-growing area, but most companies lack the computing resources or IT expertise to apply data-mining techniques to their disparate applications and departments, the company said. FusionOps said it solves the problem by creating one pool of data and then applying thousands of proprietary algorithms to provide users with actionable information. The company retrieves user data, processes it in the cloud, and then converts it into what Shariq Mansoor, FusionOps’ chief technology officer, called “intelligence models,” allowing customers to fine-tune inventory levels, reduce costs, and improve service reliability.

The algorithms simulate different supply chain scenarios to go beyond “diagnostic analytics” (why did it happen?) and “predictive analytics” (what will happen?) to “prescriptive analytics,” which recommends the best course of action, according to FusionOps.

Until recent years, this approach would have been impossible for all but the largest corporations. However, the rise of cloud computing democratizes the process because of the cloud’s ability to handle massive amounts of data.

“New models are emerging so users can do a root-cause analysis to see why things happened. You can’t fix a problem unless you know why it happened,” Mansoor said. “By looking at the data and using machine learning, you can predict every SKU [stock-keeping unit] of demand.”

With that level of analysis, companies can avoid being stuck with excess inventory when demand changes suddenly due to shifts in weather, fashion, seasons, or commodity prices, FusionOps said.

—B.A.
newsworthy

FusionOps launches prescriptive
analytics tool

Toyota Industrial Equipment has announced a construc-
tion project to add a new building to its North American
corporate headquarters in Columbus, Ind. … Dircks
Moving & Logistics has expanded its logistics footprint
and relocated to a 170,000-square-foot distribution
center in the West Valley region of Arizona. … GLP
has leased a 157,000-square-foot facility in Columbus,
Ohio, to Ceva Logistics. … Schneider has opened a
new 147,500-square-foot warehouse in Port Reading,
N.J., to serve shippers utilizing Northeastern ports. …
CenterPoint Properties has acquired a 152,155-square-
foot facility on 15 acres in Auburn, Wash. The building
will be leased to FedEx Ground as one of its primary dis-
tribution and sorting facilities in Western Washington.

… Dachser USA Air & Sea Logistics Inc. has expanded its Midwestern footprint yet again, opening a new office in the Twin Cities region, its fourth office in the Midwest. … Marisol International, a Roadrunner Transportation Systems Inc. company that provides international freight forwarding and customs brokerage services, has opened a new office in El Paso, Texas. … Adidas Group has moved to a new 260,000-square-foot DC in Luhari, India, replacing the five centers the company had previously operated in the country. … To help expand its e-commerce network, Walmart has opened a 1. 2 million-square-foot fulfillment center in Chino, Calif.

ground breakers

Material handling and logistics systems provider Dematic Corp. will acquire NDC Automation, an automated guided vehicle (AGV) and software provider in Sydney, Australia. Terms of the transaction were not disclosed.

After an unspecified transition period, NDC will operate under the Dematic name. The company has provided AGV solutions for companies located in Australia and New Zealand for more than 40 years.

“The NDC portfolio expands upon an existing portfolio that will dynamically optimize the movement of raw materials or finished goods as they move throughout a facility, including software that provides real-time information addressing material-flow metrics,” Dematic President and CEO Ulf Henriksson said in a statement.

The announcement marks the second recent acquisition by Dematic, following its purchase of the Austin, Texas-based warehouse execution software (WES) provider Reddwerks Corp. in November 2015.