Leading gas producer leverages advanced supply chain design and decisioning technology to enhance production and distribution efficiency
ANN ARBOR (Michigan) and TOWCESTER (United Kingdom), June 11, 2019 – LLamasoft, the leading provider of enterprise supply chain design and decision-making solutions, is proud to announce that Italian gas producer Rivoira has selected its powerful supply chain design platform to provide intelligent support for key decisions around the production and distribution of its portfolio of gas products and equipment.
Headquartered in Milan, Rivoira S.r.l. is part of Nippon Gases, the European subsidiary of Taiyo Nippon Sanso which is, in turn, an affiliate of Mitsubishi Chemical Holdings. Rivoira produces industrial, speciality and process gases for use in a wide range of industries including manufacturing, steel, energy, chemicals, food and beverage, electronics and healthcare.
Having seen the value other gas companies derived from supply chain design initiatives, the company took the decision to acquire the same technology and skills in order to reduce costs, mitigate risks and improve service levels.
Previously, Rivoira’s production and distribution planning was carried out by basic analytics tools and evaluations based on personal judgement and business experience, leading to sub-optimal efficiency.
Today, Rivoira’s Advanced Analytics team is using LLamasoft’s powerful modelling capabilities weekly to optimise plans for the production and distribution of liquid gases and relies on the optimisation model to determine the best make, buy, sell and swap strategy across a network of production sites, co-producer contracts, distribution assets, external fleet and customers. Many factors are considered in the optimisation model including production processes, variations of characteristics of liquid gas to meet demand, production energy consumption, production costs and distribution costs, as well as fleet costs and constraints. The model results provide the business with valuable guidance on plant production plans and proportions of swap and buy amounts with co-producers.
In the longer term, the company intends to use LLamasoft to redesign its supply chain to drive cost savings and service level improvements.
Giorgio Busca, Advanced Analytics Engineer and Lead Data Scientist at Rivoira says: “Rivoira has successfully leveraged the LLamasoft platform to rethink the supply chain, proactively manage unexpected scenarios, reduce costs and improve customer service.
“The decision to implement LLamasoft supports our transformation from a traditional manufacturing company into a modern environment which is able to boost its performance supported by data driven decisions. The team looks forward to extending the geographical usage of the software and unlocking further savings potential by leveraging additional LLamasoft technologies such as inventory optimisation, all within a single platform.”