One of my least favorite classes while working toward my MBA at the University of Texas was Operations Management. Sure, it was better than financial accounting, but whenever I looked at the material, I thought, “I’ll never run a manufacturing plant. Why should I care?”Read More
Every company operates within a large set of constraints, including annual budgets, material purchase contracts, resource capacity, hospital ward space, environmental regulations, customer order contracts, financial reporting regulations, and others. While these financial, physical and policy constraints can impact an entire organization, most planning processes are still done by department, business unit, geography or some other hierarchy. The need for true Integrated Business Planning (IBP) has never been greater.
No one would argue that major constraints, especially those impacting profits, are not important. Well understood and managed constraints, such as budgets, normally trickle down to various decision-making levels. However, companies often have many enterprise-impacting constraints, which are not always taken into account or followed.
This results in disconnects and inconsistencies in the decision logic process — often the case when organizations use a descriptive or predictive analytics modeling approach for planning decisions. Critical constraints are usually simplified or aggregated, and sometimes completely ignored!Read More
Prescriptive analytics, also known as optimization, is a very powerful approach that can deliver significant value strategic, tactical and operational use cases in every industry. Unfortunately, until now it has also been very hard to develop optimization models and firms have required the use of PhDs and significant education for management.Read More
Enterprise consultants are uniquely positioned to maximize the benefits derived from advanced analytics, provided they act swiftly. The nature of new, complex, advanced analytics requirements places consulting firms at an advantage over traditional software companies. Consulting firms, understanding their advantaged position, are rapidly adopting predictive and prescriptive analytics, due to the following:Read More
International Data Corporation (IDC) recently released the report titled “Innovative Business Analytics Companies Under $100M to Watch.” The report features vendors that are innovating around three key trends in the business analytics market. These trends are: Collaborative Decision Management, Cloud-based Analytics, and Mobile Analytics.Read More
Our partners and customers are building forward looking planning applications. They are usually building these systems on top of existing transactional data systems and data warehouses. The problem is they are trying to build forward looking planning systems with every piece of data they have. This is a computational nightmare.Read More