Demand Forecasting

CGT's readers rank the top technology providers of a suite of software or point solution for supply chain planning, including demand forecasting, inventory optimization, etc.

Mondelez International's supply-chain reinvention plan is expected to deliver $3 billion in gross productivity savings, $1.5 billion in net savings and $1 billion in incremental cash during 2014 to 2016.

Early reports predict a slow kickoff to the holiday shopping season could bring an estimated 11% drop in sales year over year. Despite gains in online traffic and sales, overall sales were soft this Thanksgiving as the average shopper spent 6.4% less over the long weekend.

Daily downstream data, social listening, sentiment analysis, crowdsourced local intelligence, website traffic, hyper-local digital advertising it's all coming together to paint a picture of the individual consumer. Thus, consumer goods executives have a new mantra: "Thou shalt collect, analyze and act on a confluence of data."

Swire Beverages unlocks the full potential of its Coca-Cola Supply Chain Network in China by transforming its operations to synchronize with real-time consumer demand across every channel.

Shell was the first oil and gas company to recognize that it could sense demand much like a pure-play consumer products company, creating daily forecasts that reflect current market conditions by using demand signals.

While supply chain leaders will stand up at conference after conference and brag about how they saved money, improved inventory and driven improvements in customer service, we find that nine out of 10 supply chains are stuck at the intersection of inventory turns and operating margin. So, did these supply chain leaders deliberately lie in their presentations? No, we don't think so. Why the gap?

Consumer product companies often strive to compete or differentiate on being really good, cost competitive or very fast. Historically, customers have paid a premium for quality or fast delivery. On the flip side, competing on low-cost was often affiliated with sacrifice in quality or speed of delivery.