Nestlé USA Applies Optimization Models to Save on Transportation and Production Costs

As a subsidiary of the world’s largest food company, Nestlé USA is laser-focused on doing more with fewer resources and adopting highly efficient technologies and processes, including machine learning and prescriptive analytics. With 64 brands consisting of numerous products in each brand, maximizing payload and minimizing transportation costs is an extremely complex problem – particularly when you factor in demand forecasts and current supply levels. Nestlé USA turned to FICO® Xpress Optimization Suite, a key offering within FICO® Decision Management Suite, to calculate the very best shipment combinations from millions of possibilities – leading to significant transportation cost savings over the past seven years. They’ve also used Xpress to optimize redeployment of inventory from one distribution center to another – and even have developed an application to help their largest customers manage payloads.