May 22, 2008 - IBM has released a new software tool to help companies track and manage the climate impact of their supply chains.

The Carbon Tradeoff Modeler analyzes a company's climate impact from manufacturing and distribution operations, quantifying the tradeoffs between emissions reductions and other supply chain metrics such as inventory levels and on-time delivery.

The tool also identifies areas where carbon emissions and costs can be reduced simultaneously, according to IBM. For example, the tool might identify the relative cost and climate impacts of consolidating packaging, adjusting lot sizes, or improving shipping routes.

IBM is just the latest - but perhaps the largest - company to field a new carbon-tracking software tool over the past few months. Software vendor ILOG released one in March, with Profit Point and Logility and EPS close behind.

Earlier this month, business analytics firm SAS launched a new software platform to help companies cut costs and identify new markets for their products through eco-innovation.

For more on IBM's Carbon Tradeoff Modeler, click here.