Commodity Value Chain Optimization

Commodity Value Chain Optimization

Improving Portfolio Risk-Adjusted Returns through Molecular Management under Uncertainty

Molecular Management ensures the right molecules are in the right place, at the right time, and at the right price. Traditional Value Chain Optimization (VCO) approaches often fall short due to:

  1. Ignoring market and operational input variability
  2. Being overly prescriptive, limiting entrepreneurial risk-taking by trading and marketing teams

We offer the ideal solution for organizations with complex value chains in the commodities sector.

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What Problems Do We Solve?

Many organizations focus on a deterministic view of single assets at a snapshot in time. This is a problematic approach as most organizations must consider complex inter-connected assets across time. Stochastic models better represent reality in these situations.

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Commercial Strategy-Centric Solutions

Our multi-disciplinary team of value chain optimization, commercial trading, and risk management experts collaborates to design systems that deliver superior commercial risk/reward outcomes.

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System Design Approach

We take a holistic approach that builds on your existing commercial edge, encompassing people, processes, and systems. Our solutions are highly customized to your commercial operations and asset base, aligning with your team’s capabilities.

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Dynamic Optimization

We employ advanced modeling techniques to capture complex asset and operational dynamics, enabling better planning. Using a reinforcement learning sequential decision-making framework, we create optimal and alternative plans. This approach ensures informed inventory decisions under uncertainty and provides the best choices over time.

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Continued Operational Support

Our support doesn’t end with delivering plans, capabilities, and software. Through our Back-Casting Co-Pilot service, we offer ongoing, model-driven advice to continuously improve your commercial performance.

How We Can Help

Flexible Partnership Models
We tailor our support to meet your organization's unique needs:

  • Full-Service Analysis
    Leverage our experienced team to conduct comprehensive analyses, delivering actionable insights and strategic recommendations.
  • Team Development
    Empower your internal teams with our proven methodology, equipping them to build and sustain these capabilities independently.
  • Independent Validation
    Strengthen decision-making with third-party validation of your internal valuations and strategies.
  • Ongoing Model Maintenance
    Keep your models up-to-date and effective with our continuous support and regular updates.
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Get in Touch

Ready to elevate your asset strategy? Contact us to uncover hidden value and build a more resilient portfolio.