INDUSTRY SEGMENT: Grain Milling

Optimization Software and Predictive Analytics for the Grain Milling Industry

Pho Industries Grainmilling

The grain milling industry faces a complex set of decisions that must be coordinated to optimize the sales execution process and margins. Raw material inputs, production capacity and demand forecasts must be considered if companies in this historically low-margin industry are to find ways to maintain or grow profitability as market conditions change. Volatility in the underlying commodity, whether it is wheat, corn or soy, has led to significant risk and pricing complexity for both millers and their customers.

SignalDemand's optimization software distills the complex interdependencies between supply and demand into mathematical models, which have been tailored to understand and incorporate milling market conditions, capacity and transportation logistics. These sophisticated mathematical models power an intuitive user-interface, providing millers with the actionable information needed to proactively manage their business.

Improve Sales Operations and Margin Decisions Through Predictive Analytics

  • Reduce margin volatility and establish optimal margin targets to achieve business goals
  • Reduce margin volatility through improved insight into customer buying patterns
  • Respond quickly, accurately and consistently to customer inquiries

Collect Insight into Capacity Utilization through Optimization Software

  • Improve insight into capacity utilization and sold positions to allow margin to be brought in-line with volume commitments
  • Incorporate forecasts of capacity and sold position into price and margin decisions
  • Supply alerts, as capacity is met, to allow a margin response to be considered

Forecasting Software Incorporates Costs and Projects Demand

  • Incorporate all costs, including treatment costs and inter-company shipments into margin calculations to establish an accurate view of net margin
  • Capture increases in working capital costs for inclusion in margin calculations
  • Forecast demand at each plant to determine optimal margins
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