|
|
|
|
P&G Rolls Out Terra Technology's Forecasting Solution
The Procter & Gamble Company has chosen Terra Technology's
Real-Time Forecasting solution to improve customer value, increase
supply chain stability and improve inventory management. Procter &
Gamble is live on RTF in Europe and plans to roll the software out
globally over the next two years. P&G has been able to reduce
short-term forecast error by over 30 percent and anticipates more than
a 10 percent reduction in inventory, according to Terra.
Dick Clark, associate director, demand planning for Procter &
Gamble, says: "Procter & Gamble selected Terra Technology's
Real-Time Forecasting as part of our Supply Visibility Program to
improve short-term forecast accuracy, cutting inventory and increasing
cash flow. RTF adds a new level of demand visibility in the near term,
helping us predict changes in demand efficiently and cost-effectively.
This will enable cutting inventory by more than 10 percent and
significantly reducing costs in a number of areas."
Real-Time Forecasting monitors daily demand signals and uses pattern
recognition to generate a significantly more accurate forecast. Because
the forecast responds to what is happening right now rather than just
historical trends, forecast error is typically reduced by 50 percent,
the developer says. This decreases inventory by as much as 20 percent
without compromising service levels.
Robert F. Byrne, president and CEO of Terra Technology, said, "Procter
& Gamble is a global supply chain leader who is adept at leveraging
technological advances to its benefit. By implementing Real-Time
Forecasting, P&G is not only improving its customers' experience
but also significantly increasing the company's cash flow at the same
time."
http://www.terratechnology.com
Click here to subscribe or renew your subscription to Global Logistics & Supply Chain Strategies magazine
Back to top
|
|
|
|
