BEFORE! Predictive Analytics

BEFORE! Predictive Analytics

ACT Operations Research

Description

1) Predict demand down to store and SKU level

2) Predict promotional campaign affect in the store, transportation and warehouse operations

3) Buy optimal quantities

4) Manage the risk associated with stock outs vs promotional campaigns and waste

5) considers assortment constraints and category efficiency 6) simulate store queuing for capacity analysis purposes and cost reduction purposes. 

REVENUE, SALES & PROMOTION Revenue management and price optimization is a core-activity in any market oriented company operating in different industries (Retails, Fast Fashion, Chain Store, Car Rentals, Web Business, etc.). The goal of our suite is to provide, to the revenue managers, advanced analytics, using a unique combination and integration of predictive, optimization and simulation models. While the analytics tools are complex the results are always presented in an intuitive way.

The core products included in the Revenue, Sale, Price & Promotion (RSP&P) suite are: Dynamic Price Optimizer (DPO), the multi-paradigm predictive paltform - Before! Predictive Analytics with Before! Sales Campaign -, the customers and market profiling analytics (CMP), the promotion optimization and what-if analysis platform - Before! Promo

Before! Sales Campaign software addresses the needs of industries where the products and the merchandise assortments, have a fast renewal  dynamics, even during the same season, like the case of fashion and  fast-fashion channels, electronics or several web-business 

Before!Promo, is a complete multi-paradigm analytical tool by ACTOR, developed for scaling enterprise companies. In the current competitive scenario the consumers pay high attention to the promotions, on the other hand promotions exposed retailers and vendors to higher risks in terms of image, in case of stock-out or costs in case of over-stock. When products are fresh-food or fast fashion for example, the risks become even higher. 

Before! Predictive Analytics or simply Before!, is a complete multi-paradigm demand forecasting platform by ACTOR, developed for scaling enterprise companies. Before! provides you the capability to forecast the demand while gaining control of the related organization processes such as; planning, procurement, inventory optimization, store replenishments, etc.. 

Dynamic Price Optimization (DPO) is a capacity and revenue management software based on sophisticated analytical algorithms. It permits users to optimize the prices of products, assets and commodities over the time based on the expected demand, the competitor’s prices and other key-information like, for example, price elasticity.

 


Benefits

  • Demand and sales forecasting with SKU price optimization, Understanding promotional effects and what if scenarios on pricing and promotions.
  • Software as a Service based usage available to minimize software costs, Learning Machine modeling techniques applied, Connects to current IT systems and improves current ERP systems.
  • Tools applied from store to logistics to warehouse operations, Forecast model with multiple constraints, Mobile applications available. 

OPTIMIZATION: Math modeling and optimization algorithms make the difference in business management.

  • When it comes to a large number of variables and constraints, whether it is strategic or operational, decision-making becomes complex. This affects financial performance and even the future of your business. Make better decisions, over and over again to improve the bottom line.

That's why optimal decision-making is so important!

What advantage does your business obtain from mathematical optimization techniques?

- understand which decision actions and responses get the best outcomes
- solving complex problems (e.g. large number of variables and constrains)
- problem definition and break-down
- results prediction and scenario management
- process re-engineering
- risk management
- data management
- competitive benchmarking

ACTOR uses advanced techniques (mixed integer linear programming, network flow techniques, dynamic programming, black box optimization (derivative free algorithm), fuzzy logic optimization, combinatorial optimization metaheuristics (genetic and evolutive algorithms, simulated annealing, tabu search, grasp, path relinking), stochastic optimization, multi-criteria decision making techniques) and Java is the technology used by ACTOR’s products.

STATISTICAL FORECASTING 

  • Every business prediction (sales forecasting, budgeting, costing, asset/labor capacity analysis, inventory replenishment, supply chain analysis, etc.) starts with forecasting, either by a personal gut feeling or some simple mathematics! 

When it comes to minimize forecasting errors and keeping risks at bay, relying on the right technique is what makes the difference – between annual profits and losses. Large data sets and multiple variables can lead to overfitting and error in over estimations. With good forecasts you can manage the volatility risks. Imaging for example reordering in a retail environment 100’s of thousands of items the difference between 5% and 2% error rate, therefore producing excess inventory items that must eventually be discounted. The difference between running in the red or black in a fiscal year! Reduce the personal bias in the forecast and use up to date and time tested algorithms to support your decisions.

HAVE YOU EVER WONDERED:

- How good are my forecasts?
- How do you assess the forecast accuracy?
- How are seasonalities and trends managed?
- How do low rotation and discounted products come through your models?
- Are data errors automatically spotted and managed?
- How do you manage cannibalization and gripping circumstances?
- Can I set a sustainable risk range?
- Are weather and other influencing variables considered?
- How are stock-outs considered?
- How are special sales considered?
- Can vertical drilling (top-down / bottom-up) be performed?
- How do you perform forecasting on short-life products?

If yes, so what are you waiting for? It is time to cut your forecast error now! 

ACTOR uses advanced techniques (autoregressive, moving average, exponential smoothing (e.g., (double, triple), Box-Jenkins, Holt-Winters, ARMA, ARIMA, Support Vector Machines (SVM) and Support Vector Regression (SVR), Neural Network, … ) and ACTOR’s products are developed on Java technology. 

DISCRETE EVENT SIMULATION & PROCESS DYNAMIC SIMULATION 

  • Simulation supports decision-making, and can be used to perform “what-if” analysis as well as it can be coupled with optimization (e.g. black box optimization).

Used to identify and reduce errors exploring new ideas in a “off-line” simulation environment thus avoiding the high costs of the “on-line” environment.   In other words, test your tactics and strategies in the virtual world not the physical environment.

DISCRETE EVENT SIMULATION

  • With discrete event simulation you can simulate the behavior of systems and processes in different industries: Manufacturing, Food/Beverage,  Packaging, Supply Chain, Warehousing, Health Care, Medical, Military, Defense, Security, Airports, Mining, Ports, Contact Centre, Process Reengineering, Lean Six Sigma.

Arena Simulation
Arena® from Rockwell Automation, is the world's leader on discrete-event simulation. Arena includes all resources for modeling, designing, drawing, statistical analysis and results analysis.

Simio Simulation
Simio® from Simio LLC, is a powerful discrete-event simulation platform. This makes modeling easy thanks to a library of intelligent 3D objects. With Simio, complex process from different systems can intuitively be modeled.

PROCESS DYNAMIC SIMULATION

Dymola/Modelica Simulation
With Dymola you can simulate the dynamic behavior and the complex interactions of a number of engineering systems including mechanic, electric, thermo-dynamic, hydraulic, pneumatic, thermal and control systems. 

PROCESS CONTROL 

  • Allow the system to be operated to the designed capacity! 

Improvements on control strategies lift productivity, streamline processes and minimize errors. Advanced process control approach forces using specialist techniques and technologies. Plant performances improve as these are integrated in management and control systems.

PLANT AUTOMATION AND CONTROL

  • Automation empowers you to innovate and compete while providing sophisticated process control and handling of disturbance. Many companies have been adopting automation as a strategic tool to stay competitive.

Keeping processes under control means leveraging on the right control variables (decisional levers) so the system can perform as you wish. At ACTOR we supply on a breadth of process understanding: this is fundamental before address any control.

At ACTOR we know plant control systems requirements and we help you with the design and the choice of highly-reliable systems suitable for your needs


About the Company

CT Operations Research provides advanced Control, Forecasting, Simulation and Optimization Products and Services to improve customers profitability via asset management utilization. Built on a cross-engineering background team, ACT Operations Research specializes in decision-making support and process control. Formed in 1996, ACT Operations Research is a privately held company headquartered in Italy (Rome) with offices in Italy, UK and USA.


CART Registered PLUS Due Diligence:

Second level due diligence validating and quantifying solution benefits with existing retail users.

Download See Resource Detail
Founded: 
1996
Company Size:  11-50 employees
References Available: 
Yes
Affiliations: 

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