New Carbon Footprint Extension by ILOG Empowers Companies to Create Greener Supply Chains

Logistics Insight Asia - Technology & Market Trends, 7/4/2008

LOGICNET PLUS 6.0 XE enables reporting and optimization of carbon emission levels to meet increasing marketplace demands for environmental awareness.

ILOG has developed a new Carbon Footprint extension that will help companies make environmentally-sound choices when designing and planning their supply chains. Available as an extension for LogicTools' market-leading network design and planning solution, LogicNet Plus 6.0 XE, is a key offering in ILOG's LogicTools Suite of Supply Chain Applications. The new extension helps companies evaluate the impact of various supply chain network configurations and transportation strategies on their carbon footprint, allowing companies to quickly and easily implement green supply chain initiatives.

Increasing global environmental awareness, along with increased regulatory and governmental pressures in many countries, as well as carbon limits or carbon trading markets, have provided large incentives to companies to reduce their carbon footprints. However, few solutions have been available to help companies evaluate environmental impact, along with cost, when designing their supply chain networks.

"The level of a supply chain's carbon footprint reflects not only potential current and future liabilities in taxes and offset costs, but may reflect inherent inefficiencies in their operations," says David Simchi-Levi, professor at MIT and product strategy consultant to ILOG.

"Moreover, the ability to quantify and reduce carbon dioxide may allow companies to earn credits that can be traded with less-efficient companies, as is evident from the 40 billion Euro world-wide market for
carbon emission permits in 2007."

ILOG, www.ilog.com