ILOG UNVEILS INDUSTRY’S FIRST SYSTEM FOR DEVELOPING CUSTOM OPTIMIZATION-BASED PLANNING AND SCHEDULING APPLICATIONS

Paris and Mountain View, CA. – 3 October 2006

Solution Brings Together Optimization Technology With Modeling and Application Development Tools

ILOG® (NASDAQ: ILOG; Euronext: ILO, ISIN: FR0004042364) today announced the Optimization Decision Management System (ODMS), the industry’s first complete system for building custom, optimization-based planning and scheduling applications. With this system, users across industries can harness the power of optimization technology for developing state-of-the-art decision support applications that solve complex business problems ranging from near real-time scheduling to long-term strategic planning. Applications built using ODMS provide business users with the ability to perform what-if analysis and scenario comparison so they can understand their options and balance their conflicting business goals. ODMS also provides a platform for business users, IT and operations research experts to work collaboratively in building and refining planning and scheduling applications.

Optimization software is an effective method for planning and scheduling in many Global 200 companies and organizations worldwide. However, prior to ODMS, a complete set of optimization modeling and application development tools was not available. Users were forced to either make do with generic applications that didn’t fit their business, use Microsoft Excel-based models that were limited in their ability to find optimal solutions, or build custom applications from scratch with little assistance. None of these solutions made it easy to deliver the quality of what-if analysis and explanations needed to truly support the decision making process, and sometimes, even failed to find the optimal solutions to business problems.

ILOG’s ODMS allows organizations to leverage the power of optimization whether or not they have operations research professionals on staff. It brings together ILOG’s market-leading optimization engines, ILOG CPLEX® and ILOG CP™ for constraint programming with its development tools, ILOG OPL-CPLEX Development System for model development and ILOG ODM™ (Optimization Decision Manager) for application development. The complete system supports the development of multiple types of optimization-based applications, ranging from strategic planning applications to detailed scheduling applications. The system also supports the complete model and application development process, starting with quick prototyping through model and application refinement, to application deployment and maintenance.

"Every business routinely faces complex planning and scheduling challenges. Part of the issue is the unique nature of the tactical optimizations that each company attempts to tackle. Traditionally Optimization engines require operations research PhDs to program and the available software development environments lacked advanced optimization tools. ILOG has bridged this gap with the introduction of its Optimization Decision Management System,” wrote Bob Parker, Vice President of Research at IDC Manufacturing Insights in a recent research document. “Underpinned with its highly regarded optimization engines for both mathematical and constraint solving, ODMS generates decision models that can be used by business people to solve complex business problems."

Using ODMS, businesses can now more easily consider building a custom planning or scheduling application. Everyday business situations such as determining the optimal electric power generation plan in the utilities industry, determining advertising schedules that honor contractual obligations, or scheduling workers while considering skills, preferences, and vacation requests are all decision making problems that can benefit from ILOG’s ODMS. Whether a finance professional or a supply chain executive is looking for cost savings opportunities or a marketing manager is trying to decide upon the optimal campaign strategy, all these users can now effectively harness the power of optimization to reach the best possible business decision.

“We have been successfully using ILOG’s optimization technology to build custom planning and scheduling systems for many years and they have proved their leadership once again with ODMS,” said Kazu Inoue, Director, Nippon Steel Solutions. “We believe these tools will help companies build even better decision support applications in the future.”

More than 1,000 commercial customers, including 49 of the Global 100, use ILOG optimization tools, engines and applications to solve the world’s most challenging planning and scheduling problems. Optimization customers include APL, BASF, JR East, Maersk, Schneider, SNCF, United Airlines, the United States Postal Service and UPS in transportation and logistics, and Airbus, Coors, Danone, Dell, Hansol Paper, Kraft, Michelin, Mitsubishi Chemicals, Nippon Steel, Nissan, Porsche, Saint Gobain, Thyssen Krupp, and Toyota in manufacturing. ILOG optimization products are also used by a majority of the leading supply chain management software vendors, including Manhattan Associates, Oracle, and SAP, as well as in research programs at over 1,000 universities around the world, making the products the “gold standard” for performance and solution quality in the operations research community. For more information, please visit the ILOG website and look under ILOG Optimization products.

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