Chapter 1: Overview of Tera Calculation

Introduction

In February 2021, amidst the raging COVID-19 pandemic, I celebrated my 71st birthday. In August of the previous year, partly due to the impact of COVID-19, I decided to suspend the consulting business I had been running for over a decade, and began developing the new "Tera Calculation" software and creating this website.

Looking back, my career has been entirely dedicated to work related to 'distribution centers'—spending 20 years at a logistics equipment manufacturer, 10 years at a logistics operations company, and over a decade as an independent consultant. During my time at the logistics operations company, I gained experience in logistics consulting under the late Mr. Mutsumi Nakanishi. Later, I received guidance from the late Mr. Shin Suzuki on the logistics analysis method known as 'EIQ Analysis.' When I became independent, I was blessed with the opportunity to take over Mr. Suzuki's consulting firm, the 'Logistics Technology Research Institute.

The 'motives' and 'policies' that led me to create this website and release the software are as follows.

Motives for Creation

1. To supplement the 'lack of explanation' in a co-authored book
Invited by Professor OO, I participated in monthly study group meetings over the course of 4 to 5 years, eventually joining as one of the co-authors of "Logistics OO" (published last April by the OO Institute). At the time of writing, Professor OO encouraged me, saying, "Space is limited, so condense what you want to say to the core, and save what you couldn't write for another opportunity," allowing me to somehow complete my part. However, in the section I was responsible for, "How to Estimate Distribution Center Scale from Shipping Data," there remained an undeniable lack of explanation between the lines. I had a strong desire to properly supplement this in my own words

2. As a 'baton runner' inheriting the will of my mentor
Last June, Mr. Shin Suzuki, who desired the spread of EIQ analysis more than anyone else, passed away. As someone who was taught by him, feeling a sense of mission to become a baton runner and leave behind writings on EIQ analysis was also a major driving force.

Policy for Creation

A culmination not of 'orthodox theory,' but of proprietary calculation software grounded in actual practice
When creating this, I struggled greatly with how to explain the EIQ method. This is because some of my ideas and calculation methods might not align with Mr. Suzuki's intentions. After agonizing over it, I concluded that I would leave the academic 'orthodox EIQ method' to others. I choose to compile the calculation methods I have actually used in field 'practice.' I will provide you with a practical "Tera Calculation" software, an original calculation program that incorporates traditional calculation methods without being strictly bound by rigid EIQ methodology.

(Written in February 2021)

Note: The names of the individuals and organizations cannot be displayed as we have not obtained permission to publish them. Please wait for further updates.

Section 1: Software Creation Philosophy

"The mission of a distribution center is to protect the customer's lead time and ship products.
Inventory exists for the purpose of shipping, and receiving exists to secure that inventory.
Therefore, 'shipping data' is the foundation that determines the scale and functions of a distribution center.
Any increases or decreases in inventory and receiving due to sales or purchasing convenience should simply be added after calculating the distribution center scale based on the 'shipping data'."

Tera Calculation was developed based on the essential role of a distribution center and the importance of data. Its core concepts are as follows:

Section 2: Purpose of Tera Calculation

The Tera Calculation software is an educational software designed to teach the methods and procedures from analyzing shipping data to calculating the scale of a distribution center.

Section 3: Positioning of Tera Calculation

The system design of a distribution center can be broadly divided into three areas, but Tera Calculation is software specialized in the "Equipment and Facility System" among them.

Section 5: About Tera Settings

Designing a logistics facility requires an enormous amount of data, but the Tera Calculation software adopts a unique input assistance system so users can smoothly begin their analysis.

Tera Settings Data Screen

Section 6: Tera Calculation Configuration

This software consists of three stages: data processing, analysis, and simulation (Tera Calculations 0 to 2).

Tera Calculation Configuration Flow

Section 7: Languages Used, Conditions of Use, and Installation Method

To process large volumes of shipping data (approx. 60,000 rows) at high speed, the Tera Calculation software is built combining database technology and programming languages.

Section 8: Installation Method

This section details how to install the Tera Calculation software.

1. Advance Preparation and System Requirements

Before starting the installation, the following environment must be prepared.

2. Installation Procedure

The actual installation follows the flow below.

3. Data Placement (Important)

To operate the software normally, careful attention to data placement is required.

4. Notes and Disclaimers

Section 9: Regarding Software Distribution

We will explain the distribution status of the Tera Calculation software.

1. Software Distribution Status

The current provision status of the Tera Calculation software is as follows.

2. Towards Learning EIQ Analysis and Distribution Center Design

This software has an aspect of an educational tool to learn the procedures for calculating the scale of a distribution center from shipping data. While waiting for distribution, reviewing the following logic explained in the previous sections will enable a smooth introduction.

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