Types of Business Optimization: S+NuOpt

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Interesting to see that James Taylor is planning a Decision Management platform report this year (2012). James is particularly focused on the relationship between analytics and rule / decision execution technologies, which are of course increasingly popular business optimization techniques [*1]. The report prospectus defines 3 main technology areas of interest: rule and decision engine capabilities (c.f. TIBCO BusinessEvents and ActiveMatrix Decisions), predictive analytics or data statistics capabilities (c.f. TIBCO Spotfire, Spotfire S+, and Spotfire Miner), and optimization technologies.

In the latter category of optimization tools there is an interesting extension to S+ available called S+NuOpt. This provides techniques like LP and MIP, QP, and MOP to allow solving of constraint-rich problems like planning and routing. Traditionally these have been complex, long-running, CPU-intensive algorithms solving particular problems like “what airline routes should we offer this Summer”. But there is increasing interest in applying these resource (asset, personnel etc) optimizations against more and more exception events (such as the closure of some airports due to weather) – termed event-driven optimizations – and where the world of near-real-time event processing and operational decisions push up against the long-term strategic decision processing. Having cloud-based on-demand computing resources for irregular (but still computationally expensive) optimization computations, invoked as required through the assessment of complex events, is likely to be a key capability in future.

Although TIBCO Spotfire is commonly used to report on, and analyse results from, event processing using TIBCO BusinessEvents, I have not heard of any public case studies of NuOpt being invoked from CEP and event processing in an automated fashion. But if any usecases get published, I’ll add them here!

* Notes:

[1] See TIBCO Software 2010-2011 FY reporting on the success of CEP and analytics under “business optimisation”.