Project description
New software simplifies order planning
A good order planning policy is important for any business, and it generally entails two approaches: the first is upfront ordering, which allows quantity discounts but causes high inventory costs. The second is just-in-time ordering, which minimises inventory costs but increases order fees. The EU-funded SOPaaS project has a better solution. It will bring to market software that solves the issue of when and how much to order. Using algorithms based on machine learning, the software can access untapped savings of up to 10 % of total purchasing cost on average. What is more, SOPaaS considers real-world factors related to cost (long shelf life, associated storage costs), sustainability (preference for eco-friendly shipments) and responsibility (fair trade considerations).
Objective
Knowing how much to order and when is a longstanding industrial problem called order planning. The 2 main approaches are:
1. Upfront ordering. Allows capturing quantity discounts and simplifying operations, but causes high inventory costs (e.g. space, amortisation).
2. Just-in-time ordering. Minimises inventory costs, but requires a higher quality control, increases order fees and reduces discounts on quantities.
However, the right solution lays in the grey area in-between. Sometimes part of the inventory might go bad after a certain time and forces frequent ordering, storage space might be limited, suppliers might impose minimal order amounts, may be some material has long lead times. In summary, a myriad of real-world considerations that current solutions ignore, achieving only partial optimisations.
GenLots’ SOPaaS is a Software-as-a-Service (SaaS) solution that untapped savings in the ordering plan (OP) elaboration stage of Supply Chain Management (SCM) process thanks to our machine learning based algorithms. In short, SOPaaS optimally answers the question: “When do I need to order and how much raw material?”
Our proprietary machine-learning algorithms unlocks untapped savings of 5-10% of total purchasing cost on average. This translates in millions of euros saved for our clients, a unique value proposition that guarantees their willingness to pay. SOPaaS solves the theoretical problem of obtaining the ordering plan, while also considering real-world factors in various dimensions, e.g. cost (e.g. lots’ shelf life, associated storage cost), sustainability (e.g. prefer eco-friendly shipments) or responsibility (e.g. fair trade considerations) among others.
Fields of science (EuroSciVoc)
CORDIS classifies projects with EuroSciVoc, a multilingual taxonomy of fields of science, through a semi-automatic process based on NLP techniques. See: The European Science Vocabulary.
CORDIS classifies projects with EuroSciVoc, a multilingual taxonomy of fields of science, through a semi-automatic process based on NLP techniques. See: The European Science Vocabulary.
- natural sciences computer and information sciences artificial intelligence machine learning
- social sciences economics and business business and management commerce
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Programme(s)
Multi-annual funding programmes that define the EU’s priorities for research and innovation.
Multi-annual funding programmes that define the EU’s priorities for research and innovation.
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H2020-EU.2.3. - INDUSTRIAL LEADERSHIP - Innovation In SMEs
MAIN PROGRAMME
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H2020-EU.3. - PRIORITY 'Societal challenges
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H2020-EU.2.1. - INDUSTRIAL LEADERSHIP - Leadership in enabling and industrial technologies
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Topic(s)
Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.
Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.
Funding Scheme
Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.
Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.
SME-1 - SME instrument phase 1
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Call for proposal
Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.
Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.
(opens in new window) H2020-EIC-SMEInst-2018-2020
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Net EU financial contribution. The sum of money that the participant receives, deducted by the EU contribution to its linked third party. It considers the distribution of the EU financial contribution between direct beneficiaries of the project and other types of participants, like third-party participants.
1071 CHEXBRES
Switzerland
The organization defined itself as SME (small and medium-sized enterprise) at the time the Grant Agreement was signed.
The total costs incurred by this organisation to participate in the project, including direct and indirect costs. This amount is a subset of the overall project budget.