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As promised, SAP plopped down a $10.5 million investment in Ilog, which makes advanced optimization software. SAP and other software vendors are using Ilog's advanced planning and optimization engine to supplement their own supply chain management offering. Ilog's software performs sophisticated algorithms used to plan supply needs, inventory levels, staffing, and factory floor use. The investment, approved by Ilog shareholders, gives SAP a 5 percent stake in the company.