Oracle Strategic Network Optimization (Oracle SNO)

Oracle JD Edwards EnterpriseOne Strategic Network Optimization allows to describe a supply chain design using graphic tools which main components are sources of raw materials and materials, transport networks, production, warehouses and points of emergence of demand. In a general view the supply chain represents a node set, connected by arcs.

Each node or arc have the properties set by the user. At the same time several nodes can integrate in blocks (for example, machines in workshop, and workshops, in turn, in the plant). For blocks it is possible to specify their geographical binding and to browse the received scheme of a supply chain on the electronic maps entering delivery of Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling".

The Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling" system is intended for the solution of a wide range of problems of modeling of material flows in supply chains. From the mathematical point of view a system allows to describe practically any linear network model and to find for it the solution.

Because not all tasks in the field of chains of supply management keep within a linear framework, the search capability optimized (but not optimal) solutions in the conditions of nonlinear restrictions is provided in the Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling" system. For this purpose in a system such processes allowing to describe as are set heuristics: formation of batches, search of the only supplier, closing or start of production sites, the minimum duration of operation of the equipment, number of the material flows which are at the same time entering a node.

The cycle of work with the Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling" system after creation of model consists of the next stages:

1. Calculation and calibration of basic model.
2. Scenario analysis.
3. Creation of reports.

The procedure of receiving basic calculation can be followed by calibration of initial set of restrictions to receive such search space in which the settlement module will be able to find the solution.

As a result of successful calculation of basic model, the user receives the allocation map of material flows at the exit.

Interpretation of the card does not represent any complexity since when viewing it from left to right it reflects in the model mode the purchased raw materials amounts, amounts of the made products, the stocks in warehouses satisfied and pent-up market demand.

Further work with model consists in refining of separate parameter values and also in introduction to model of tight and soft restrictions (for example, artificial prohibition of transportation of products between separate nodes).

The tool of the analysis of the calculated scenarios is dialog with the report on the executed modeling from which it is possible to learn costs and profit in a supply chain and also to obtain information on what part of these costs is virtual, connected with penalties for violation of restrictions.

For access to detailed information on the card of material flows the instrument of creation of reports on a supply chain is used. These tools contain as the standard preset reports (demand, a status of warehouses, deliveries, loading of capacities) as well the reports developed by users.

For automation of the procedure of the analysis of different scenarios the instrument of automatic comparison of calculation results of model is provided in the Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling" system. This tool allows to specify what parameters of basic model will change from calculation to calculation. For example, it is possible to put step-by-step increase in demand in comparison with basic model, or to analyze financial aspects of transactions in a supply chain at an exit of the enterprise to a reference level of capacities.

Scope of Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling"

The instrument of strategic and tactical supply chain planning is the universal product which almost does not have industry restrictions. It can be applied both in discrete, and in process types of productions, in the supply chains containing tens and thousands of nodes. Oracle JD Edwards EnterpriseOne "Strategic and Tactical Modelling" works as with the job order, and pushing-out production systems. As additional functionality a system has the module of optimization of one-dimensional cutting of procurements used in the pulp-and-paper, metallurgical and cable industry.