ORTEC
What Really Works?

What do effective CIOs do to align all of their business counterparts and achieve success when attempting to optimize supply chain logistics? Historically, supply chain planning technology projects have a low success rate. Why? Typically, the technology is not the problem. The underlying problem is often the fact that change management process requirements are underestimated and poorly executed. The key to achieving excellence is to devise and maintain a clearly stated, focused strategy–measured in business KPIs–that all stakeholders are accountable for. Having a great technology partner helps as well. ORTEC helps companies combat risk and accelerate business performance by connecting upstream demand sensing with downstream supply chain planning and execution, all in a single model.

Today, in many companies, complex supply chain planning problems are handled by experienced planners–often nearing retirement age–and companies are realizing their business is at risk. “We provide customers with true end-to-end solutions from supply chain strategy network design to dynamic execution optimization– all in a single integrated flow. Simply, our solutions help minimize project risk, moving tribal knowledge into a more measurable and predictable advanced planning and analytics platform,” says Richard Simpson, Chief Product Officer of ORTEC.
The logistics industry has grown considerably more complex.

Supply chains have been under pressure due to economic instability while labor and fuel costs climb higher. Shippers are considering how to optimize the multi-channel capabilities to the customer, while there is strong volatility in demand and, service level expectations are increasing.

We provide customers with true end-to-end solutions right from supply chain strategy network design to dynamic execution optimization–all in a single integrated flow. Simply, our solutions help minimize project risk, moving tribal knowledge into a more measurable and predictable advanced planning and analytics platform

As a result, the average loading degree in road transport is only 45 percent and typically 24 percent of trucks drive empty. Hence there is a spike in demand for routing and loading optimization, as evidenced in recent reports by Gartner and other analysts.

Global leaders–like Walmart, Coca-Cola, Molson Coors and Engen (all ORTEC customers)–have invested in integrated routing and loading optimization technology to free up cash in the supply chain. The ORTEC Edge ORTEC offers the best pure routing algorithms available in the marketplace today. The solution suite includes:
• Multi resource optimization
• Integrated replenishment forecasting and order generation
• Integrated load optimization
• Continuous optimization in execution
• Ability to model very complex operations and resources (e.g. fuel tankers) in the solution without customization
• Enterprise solution for many planners, across many locations planning thousands of resources.

“We are years ahead of the curve. The automated replenishment solution combined with route scheduling is a powerful approach to control stock for the customer as well as offer customers greatly enhanced service levels. We typically see savings in the range of over 15 percent with this solution,” stated Simpson.

ORTEC’s global customer base currently exceeds 1,800 and its average annual revenue growth in the last 10 years has shot up by 20 percent. “Many of our customers…such as Coca-Cola, P&G and Airgas… follow a predictive commerce strategy enabling them to manage market demands, accelerate growth, increase profitability and provide long-term shareholder value,” stated S impson. A market leader i n E urope a nd N orth America, ORTEC has rapidly expanded in Eastern Europe, Australia/New Zealand and Scandinavia.

The company’s next target markets with high growth potential include China and Brazil. While route optimization remains its most global solution, ORTEC’s future roadmap involves extending the entire solution suite internationally.