As global pioneer in this space for past 37 years, SAS work with Industry Leaders to ensure long term business value through Advance Analytics, thereby enabling businesses to time critical decisions and ensure profit maximization.

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MINIMIZE NET COST REALIZATION (NCR)
THROUGH
SAS SUPPLY CHAIN OPTIMIZATION
11 September 2013
punit.santani@sas.com
+91 98802 67105

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ADVANCED
ANALYTICS FOR
CEMENT
ABOUT SAS
Best Places to
Work For in
India
Customer
Retention
(Renewals)
On the
Fortune 100 Best
Places to Work
in America
Installations
and clients
R&D
investment
Customers in
India
Of the top 100 companies
on the 2009 FORTUNE
Global 500® list are SAS
customers
Employees
World’s largest privately
held software company
Years of experience
focused on ‘Business
Analytics’

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SOME OF OUR VALUED CUSTOMERS
ADVANCED
ANALYTICS FOR
CEMENT

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JAYPEE – CASE DETAIL
 “SAS/OR allows us to incorporate a multitude of variables into our analysis”
 “Now, faster than ever, we can determine the best combinations of mode and
route to ship our products. The net ROI is huge – it’s automated decision
making in real time.”
 “SAS provided tremendous visibility into our transportation costs and enabled
us to analyze and segregate profitable routes from non-profitable ones,”
Mr. R.B. Singh
ADVANCED
ANALYTICS FOR
CEMENT

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CEMEX
Challenge Solution Benefits
Increased market share
Premium prices for a
commodity product
35% increase in truck
productivity
Substantial stock
appreciation
Cement is highly
perishable. It begins to set
as soon as a truck is
loaded, and the producer
has limited time to get it to
its destination.
Traffic, weather, and an
unpredictable labor market
in developing nations make
it incredibly hard to plan
deliveries accurately.
Predictive analytics
enables CEMEX to
guarantee delivery in
a 20 minute window a
huge competitive
edge.
ADVANCED
ANALYTICS FOR
CEMENT

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ASSOCIATED PAN MALAYSIA CEMENT SDN BHD; MALAYSIA :
Challenge Solution Benefits
Minimized costs and
increased customer service
efficiency
Plan and execute cement
distribution and supply link
with optimised cost on
multi-mode mechanism and
routes
Large manufacturing and
distribution operations were
dependent on experience of
key people from logistics
department.
As the business operations
kept on expanding ; new
modes of transport and
route were increasing cost
pressure and contribution
margin therein.
SAS offered scalable
network planning and
optimization solution
focused to the need of
cement industry
ADVANCED
ANALYTICS FOR
CEMENT

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DATA-DRIVEN DECISIONS
Logistics network
optimization Meet more demand
profitably
Re-optimize to react to
events, disruptions,
new developments
Optimal source and route to
meet new demand request
Understand cost of
day-to-day decisions
& what-if analysis
Inbound optimization
for plants
Capture data on
exception handling for
better operations
ADVANCED
ANALYTICS FOR
CEMENT

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VALUE PROPOSITION DELIVERED TO SAS CUSTOMERS
0 50000 100000 150000 200000 250000
CHATTISGARH
GUJARAT
GOA
JHARKHAND
WEST BENGAL
PONDICHERRY
ORISSA
KARNATAKA
ANDHRA PRADESH
MAHARASHTRA
KERALA
TAMIL NADU
PPC OPC
Optimized Demand planning and fulfillment
Optimized Expenses and maximizing Contribution
Gross
Contribution
Production
Cost
Transportation
Cost
Handling Cost Excise Duty Revenue
What-if:
Sitapuram plant’s production costs are reduced
Result:
• Increased plant utilization at Sitapuram
• New Districts becoming profitable
• Increase in Gross Contribution
Optimized Plant Utilization
ADVANCED
ANALYTICS FOR
CEMENT

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SUPPLY CHAIN OPTIMIZATION – PROCESS FLOW
Access
input data
Optimize
logistics
network
Freeze
monthly plan
after manual
adjustments
Manual
adjustments to
change route
Communicate implications
Save scenario and justifying comments
New demand
Recommend
optimal source
and route
Manual
adjustments
Unexpected
developments
Re-optimize, with
some decisions
fixed as earlier
Manual
adjustments
ADVANCED
ANALYTICS FOR
CEMENT

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DATA EXPLORATION AND VISUALIZATION
Elevating data to be managed as a core business information asset
Implement an information management approach that results in competitive differentiation
Leverage analytics to effectively manage information management and key IT processes
Increase gross margin by tracking and monitoring expenses.
Perform Ad-hoc Analysis on the fly for informed daily operational decisions.
Increase inventory turns - Get the right products to the right market at the right times.
Why?
How?
ADVANCED
ANALYTICS FOR
CEMENT

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SAS VISUAL ANALYTICS
Transportation Cost Analysis – By Route Contribution Analysis – By District
Self Service Analytics – e.g. Demand Forecast
ADVANCED
ANALYTICS FOR
CEMENT

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WHY SAS VISUAL ANALYTICS?
SAS Visual Analytics empowers organizations to:
• Analysis on the Go with SAS Mobile BI
• Visually explore data – easily and quickly
• Uncover new relationships buried in data that were not previously known
• Leverage forecasting capabilities for preliminary analysis of ‘what might happen’
• Design interactive web based reports
ADVANCED
ANALYTICS FOR
CEMENT

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WHY SAS®?

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WHY SAS?
Established Credentials
• Jaypee Group cements: Better margins through improved logistics using SAS:
http://www.sas.com/success/jaypee.html
• Cemex: 35% increase in truck productivity, Increased market share and Premium prices
for a commodity product.
• Bunge: "Logistical costs in commodities are one of the leading factors determining
competitiveness. Using SAS it became easier to reduce the company's costs.“ Luis
Fernando Neves, Agribusiness Planning.
ADVANCED
ANALYTICS FOR
CEMENT

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SAS ADVANTAGE – ADVANCED ANALYTICS
ADVANCED
ANALYTICS FOR
CEMENT

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THANK YOU
punit.santani@sas.com
+91 98802 67105