DSRs Drive Sales & Marketing Success
A recent study of major consumer goods (CG) companies from AMR research, in collaboration with Hitachi Consulting, revealed that most manufacturers are optimistic about their use of downstream data and a smaller set of respondents have growing expectations from initial investments in a Demand Signal Repository (DSR).
Roughly one-third of food and beverage, consumer packaged goods and pharmaceutical companies are actively using a DSR, according to survey results, with the goal of quickly improving category management and supply chain efficiencies, along with an overall objective to better understand shifts in consumer demand.
Roughly one-third of food and beverage, consumer packaged goods and pharmaceutical companies are actively using a DSR, according to survey results, with the goal of quickly improving category management and supply chain efficiencies, along with an overall objective to better understand shifts in consumer demand.
On April 28, 2010, during a CGT Web seminar, Steve Steutermann, research director for AMR Research, and Brad Hairston, vice president, Consumer Products Industry for Hitachi Consulting, revealed what your competitors and peer companies are doing with downstream data. The following are some highlights from the Web event:
--Steutermann kicked off the event by offering an overview of the research, revealing why there is a need for a DSR, the uses and challenges of downstream data, the benefits and what it all means to the consumer goods industry. He believes that the promise of downstream data has reached the tipping point. Leaders are separating from the pack and scaling solutions. Meanwhile, demand visibility is key to improving cycle time and optimizing the value network between trading partners. "You can't be demand-driven without having a view from the shelf back and allowing your supply chain organization to be customer-centric," Steutermann concludes.
--The Hitachi Consulting point of view was presented by Hairston, who says consumer goods companies are focusing on two key areas when it comes to DSRs. The first is strengthening the downstream data foundation through standardization/consolidation/governance. The second is maximizing the business value derived from the downstream data by choosing the most effective Business Intelligence (BI) solutions/architecture. "If you're just starting a DSR, or you don't really have a good BI development capability within your company, and you're really just going after typical benefits or standard solutions that a DSR can provide, that's a great case for leveraging an outsourced BI solution. On the other hand, if you're mature in your DSR and you do have that capability of taking raw data and developing things rapidly, then building your own makes sense," he advises.
To listen to this event in its entirety, click here.