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DS Magazine VOLUME 8 / ISSUE 1 / SPRING 2008 Heineken USA Taps into Distribution Success DS Magazine 1 OPENING Letter G rowing up, there we...
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DS Magazine

VOLUME 8 / ISSUE 1 / SPRING 2008

Heineken USA Taps into Distribution Success

DS Magazine

1

OPENING Letter

G



rowing up, there were only a handful of options for toothpaste, soap and laundry detergent. The supply chain was relatively simple for companies with a few products manufactured domestically.

For better or worse, things have drastically changed since then. Now when I shop for

toothpaste, there are so many choices that I can’t even remember which one I use. On top of explosive product proliferation, today’s enterprises face many other supply chain challenges. At last year’s conference, I spoke about five key trends in today’s supply chain: Globalization, Collaboration, Product Innovation, Flexibility and Green. A recent Wall Street Journal article addressed these very trends and concluded that these forces added up to an incredible burden on you: “…supply chain managers are shouldering a lot more responsibility and need a new set of skills – particularly due to globalization.” Today, supply chain managers must understand legal, political and cultural environments in order to negotiate with suppliers to drive cost out of the supply chain.

We have planned our conference for late September this year with the theme Innov8 – Rethinking Global Supply Chains.

The software industry’s answer to supply chain complexity is to produce more complex

supply chain systems, which in turn, makes the problem worse. At DMI, we advocate a back-to-the-basics approach and advise enterprises to rethink their supply chains in such a way that they can simplify complex processes and arrive at straightforward numbers. Our goal is to help make supply chains easier to manage and more effective.

In this issue, our customers speak to Demand Solutions’ ability to solve global supply

chain problems. Demand Solutions simplifies Heineken USA’s wholesale distribution operation by mapping its sales force to its distribution points (page 6). Kyocera Mita Australia achieves long-term visibility with Demand Solutions amidst three-month lead times (page 14).

A key competitive strategy many companies are adopting to manage global businesses

is Sales & Operations Planning (S&OP). With so many vendors hyping S&OP software, it is difficult to evaluate the basic requirements a stand-alone tool should have. To help companies decipher the complex maze, we have outlined the four main attributes a successful S&OP solution should offer (page 21). I look forward to seeing you in September. Sincerely,

Bill Harrison President

2 demandsolutions.com

TABLE of Contents

Editor: Amanda Conner

/ Spring 2008

4 DS News 5 Mexico

Demand Management opened an office in Mexico to help businesses successfully respond to its changing supply chains.

6 Heineken How many bottles of beer on the wall? Heineken USA counts its bottles and its savings with Demand Solutions.

10 Raymarine Marine electronics provider not only helps customers find fish, but also decks out notable celebrities’ yachts with navigation systems, satellite TVs and chart-plotting programs.

12 HallStar Without polymer additives and esters, tires would be less durable and sunscreen would not survive the elements. HallStar becomes as precise with forecasting as it is with chemistry.

14 Kyocera Distributing printing devices and spare parts with three-month lead times is not a simple task. Armed with a trusted planning tool, a hardworking team makes it look easy by reducing inventory and shipping costs by 60 percent.

16 CML Customer forecasts threatened CML’s status as a top lighting supplier to the automotive industry. With the help of Demand Solutions and a new forecasting process, the leader in LED lighting is shining brighter than ever.

18 Slime Green, thick and sticky – Slime is not your average tire sealant. As the magical goo’s popularity continues to rise, spare tires could soon be outdated. Demand Solutions has helped Slime establish a fluid forecasting and replenishment process to prepare for increased demand and eventual world domination.

20 Employee Spotlight: Anthony Fitzgerald A Business Consultant applies creative methods to help companies in Australia and Asia Pacific achieve long-term, supply chain visibility amidst long lead times.

21 Sales & Operations Planning A complex process needs a simple solution. Demand Management outlines the four main credentials a true S&OP tool should have.

DS Magazine

3

DS News

DS News New Offices

Demand Management is proud to announce the addition of four new representatives to the global DMI network.

William Leo - Shanghai

Customer Conference

The 2008 annual Demand Solutions Customer Conference in Phoenix, Arizona will be the best one yet. The conference dates are September 28 – October 1 and training is September 26 – 27.

With more than 20 million people, Shanghai is one of the most populated cities in the world. The Singapore-born former SAP consultant understands the complex supply chain issues manufacturers in Asia face.

Russ Goodrich - Government

Russ Goodrich has more than 25 years of experience providing software solutions to both the Federal Government and private industry. Headquartered outside of Washington, D.C., Goodrich and his organization will support all branches of the U.S. Government as well as commercial business in the state of Virginia.

Raymond Leung - Hong Kong

Expanding its international reach in Asia, DMI has appointed Raymond Leung to sell and support the Demand Solutions product suite in Hong Kong. Leung has more than 20 years experience in logistics and has expertise in supply chain and logistics consulting.

Roberto Robles - Mexico

There is a strong demand for businesses in Mexico to streamline their supply chains. Seasoned IT solution provider Roberto Robles is looking forward to helping local organizations meet their supply chain planning goals.

Awards

With more than 100 customers in the Food & Beverage industry, DMI won the Food Logistics 100 Award. The recognition is in response to the exceptional planning functionality in the Demand Solutions product. The tool helps customers increase inventory turns and decrease obsolescence.

Editor’s note: Due to miscommunication among the DS editors and management at Invitrogen, a version of the article was released that did not include some suggested modifications. We regret the occurrence and have put processes in place to ensure this is not repeated.

4 demandsolutions.com

We will present the latest innovations in planning trends and our products. Keynote speaker André Martin, known as the founder of modern-day replenishment planning and leading author of several books on supply chain operations, will provide industry insights into today’s complex supply chain. The JW Marriott property in Phoenix will be an amazing venue for learning and relaxation. We look forward to networking, collaboration, product enhancement voting and interactive discussions about supply chain complexities and your changing roles as managers. Call for papers deadline is May 15.

Partner Update

Demand Solutions and Microsoft’s partnership heats up with integration and certification underway to Microsoft Dynamics® business platforms including NAV and GP.

Product Updates & Enhancements

Enhancements: At the September customer conference in Phoenix, the company will formally release the major enhancements for each product from the 2007 voting. Version 11: Demand Solutions is rolling out the latest release of DS FM and DS RP. Contact your representative to learn more about the performance advantages. Statistical Bill of Materials: Demand Solutions has added a Statistical Bill of Materials into the Requirements Planning module in Version 11. Now DS RP allows phasing components in and out of a BOM without having to create a new product — making it easier to track when there are multiple choices.

Mexico

Focus on Mexico

S

constant

“Demand Solutions is the ideal fit for small

Its software solutions have contributed

evolution, but none are fluctuating

and midsize enterprises in Mexico because

to the increased profits of many local and

more than Mexico’s. Throughout

it is affordable, easy to use and is the

international corporations in Mexico.

the 1990s and into the early years of 2000,

fastest supply chain planning software to



companies in Mexico invested in software

implement.”

providing excellent service and support for

systems to improve internal processes.



There are several factors affecting

its Demand Solutions tools locally. If your

Now, the focus has shifted to improving

businesses in Mexico. Globalization and its

company wants to remain competitive in

the supply chain. In fact, International Data

associated long lead times, shifting from a

the Mexico market, contact Roberto Robles

Corporation (IDC) predicts that supply

manufacturing to a distribution economy,

today.

chain management software sales will grow

inflation, the declining U.S. dollar and

15 percent this year and 18 percent in 2009.

increasing energy costs – to name a few –

Fueled by economic conditions, the supply

all contribute to the changing face of supply

chain management sector is predicted to be

chains in Mexico and the increased focus on

among the largest of Mexico’s information

planning.

technology investments.





upply

Demand

chains

are

Management

in

opened

“The supply chain in Mexico has also

an

moved from local to global as it outsources

office in Mexico City in February to help

more and more of its manufacturing to other

businesses in the region achieve their

parts of the world. With the shift away

supply chain planning goals. The company

from manufacturing, Mexico has entered

welcomes Roberto Robles and his group

into a wholesale distribution environment

of seasoned supply chain professionals

with the same challenges that other

to its global team. With more than 20

countries have faced for the past decade,”

years of experience implementing new

says Bill Harrison, President of Demand

processes and software solutions for Latin

Management, Inc.

American clients, Robles understands the



challenges regional businesses face and has

from manufacturing to distribution, Mexico

a track record of delivering high return on

is experiencing the usual business problems

investment to his customers.

associated with outsourcing. Long lead



“Now more than ever, companies

times for finished goods and parts make

with inventory in Mexico need dedicated,

careful planning a top priority. Demand

world-class demand planning and supply

Solutions has helped businesses plan for

management tools to remain competitive,”

more than 23 years.

says Roberto Robles, General Manager



of Demand Management’s Mexico office.

history of success in the Mexico market.

Similar to the United States’ transition

Demand Management has a solid

The

company

is

committed

to

“As we approach the 15th anniversary of NAFTA and look at the effect it has had on Mexico, the country has become a more dynamic player in world economy,” says Bill Harrison, President of Demand Management, Inc. Roberto Robles Arroyo World Trade Center Montecito No.38 Piso 12 Of 16 Col. Nápoles México, D.F. C.P. 03810 Tel: +52(55)9000 5800/10 Fax: +52(55)9000 5802 [email protected] DS Magazine

5

COVER STORY

Demand Solutions Helps Heineken Serve a Cold One

H

6 demandsolutions.com

eineken USA (HUSA) does not brew, bottle

how the software created and maintained them.

or package beer in the United States. The

Although it would have seemed a natural choice to

company instead imports, markets, sells

upgrade its SAP APO DP tool given that HUSA uses

and distributes Heineken along with other premium

a SAP ERP system, the company decided to research

beers in its expanding portfolio through a network of

the leading forecasting systems on the market. HUSA

nearly 650 beer distributors throughout the country.

chose Demand Solutions because of its ease of use,

Easier said than done, this supply chain requires

powerful functionality, quick implementation, local

precise forecasts and meticulous planning. Even

support and value for money.

with breweries on the other side of the Atlantic, long



brewing lead times and seasonal market demands,

that sought transparency above all other factors

the company operates one of the best-performing

when evaluating software. With a Ph.D. in

supply chains in the industry. Forecast accuracy is a

computer science, numerical complexity did not

key enabler for HUSA in operating the supply chain

intimidate Setnes. However, he realized that too

that makes them the biggest container shipper on the

much complication would hamper a collaborative

trans-Atlantic.

forecasting process.





Magne Setnes, Senior Director of Supply Chain

The choice has worked well for the company

“Demand Solutions has a transparent process of

Management, wanted a forecasting tool that was easy

creating forecasts,” says Setnes. “After all, we aren’t

to understand. His theory was that the team would

putting robots on Mars – what’s important for my

make better use of the forecasts if they understood

team is a tool that supports their data management.”

COVER STORY



As with most packaged consumer goods



The final factor when determining forecasting

companies, forecasting demand for a new product,

packages was flexibility. Setnes wanted a solution

big or small, is always a challenging process. HUSA

that could fit into the way Heineken works, rather

liked Demand Solutions’ process for developing and

than requiring the company to conform to the

maintaining forecasts for new products. Over the past

software. With its large selection of templates and

year, Demand Solutions has proven its capabilities

reporting methods, Demand Solutions lets a business

and contributed to Heineken’s successful launch of

customize its solutions without customizing the

two new products: Heineken Premium Light and the

software. The program is also flexible in terms of

five-liter draught keg, an end-user mini keg with an

access — users can access the centralized Demand

integrated draught system guaranteed to keep beer

Solutions database from their respective office

fresh for at least 30 days after it’s first tapped.

locations throughout the U.S.



“Demand Solutions simplified the new product

Over the past year, Demand Solutions has proven its capabilities and contributed to Heineken’s successful launch of two new products

launch process for us,” says Setnes. “The tool makes it very easy to review the numbers and change the forecasts, which we do frequently during a launch.”

The Heineken supply chain management

department faces an interesting challenge. Its physical supply network structure is optimized for organization − each of its six demand centers

Managing a Forecast-Driven Supply Chain

feed into several different sales zones. Prior to



implementing Demand Solutions, the HUSA supply

the starting point for HUSA’s conversations that

chain staff had to manually map the forecasts built

make up the sales and operations planning. Through

for the demand centers onto the sales zones in order

monthly meetings with the sales force in the field, the

to have a basis for discussions with the sales force.

regional demand planners collect numbers, discuss



trends and solicit information regarding upcoming

logistics and does not align 1:1 with its sales-force

“Now we map the sales region to the demand

The forecast from Demand Solutions provides

centers automatically, and we can view the data

programs and competitor activities.

from the point of view of the network structure or



the sales organization,” says Setnes. “That is a huge

what algorithms we should use,” says Setnes. “If our

advantage, especially in rolling out new products or

competitors run promotions with large displays at

supporting promotional programs. We are able to

retail – that will impact our sales. So we need to have

have conversations with the individual sales regions

these conversations and gather intelligence on what

about expectations in a transparent way and track

is happening in the field.”

and report against progress and targets.”





“We ask sales what they think will happen, not

Working off their monthly sales forecasts, the

Another key to choosing Demand Solutions

regional demand planners update and tweak their

was strong local support, says Setnes. Heineken has

forecast each week. Demand Solutions automatically

worked closely with Demand Solutions Northeast,

maps the regional sales forecasts into a network

whose offices are within driving distance to

forecast — simplifying the once-manual process.

Heineken’s U.S. headquarters in White Plains, N.Y.

Every Thursday, Setnes and his team then send the



“When we were choosing new forecasting

consolidated demand-center forecasts to the brewery

software, integration into our global ERP system

in Amsterdam so it can update its planning for

was essential, but we also wanted a company that

several months out. Coincidently, Thursday is also

could support us locally with functional experts,”

taste-testing day at the White Plains office bar. It’s

says Setnes. “Demand Solutions has exceeded our

a good day for the team to have the forecast off their

expectations.”

plates and cold beer in their mugs. DS Magazine

7

COVER STORY

Implementing Best Practices

The biggest task in implementing Demand

We are really happy with the guidance and support we received from them.”

Solutions was consolidating Heineken’s plethora of



data from the two historical demand streams into one

Demand Solutions didn’t force them into a particular

view – what Heineken ships to distributors and what

process but rather led them into a discussion about

distributors ship to retailers. The team had previously

what the tool could do and the best approach to use

managed it in multiple spreadsheets for each region.

with their data.

“It seamlessly integrated with our SAP systems and the planning systems at the brewery without dictating rigorous, pre-defined steps like we experienced with our previous application of SAP APO DP.”

“The

Demand

Solutions

implementers

demonstrated the tool’s capabilities to support the process that was best for us and our data,” says Setnes. “It seamlessly integrated with our SAP systems and the planning systems at the brewery without dictating rigorous, pre-defined steps like we experienced with our previous application of SAP APO DP.”

“Trying to convert the regional data into a

state view was a daunting task for Heineken USA

Forward-Thinking

in the world of Excel,” says John Koroluk, an



Implementation Consultant for Demand Solutions

the team is improving methods of incorporating the

Northeast.

“Prior

to

Demand

Solutions,

With Demand Solutions operating smoothly,

the

forecasts into sales and supply chain planning. HUSA

forecasters would spend countless hours each month

recently implemented DS View, a tool that enables

just jockeying numbers around.”

them to see the forecasts from multiple angles. The



DS Northeast spent about two months working

company wants to take full advantage of Demand

with Heineken’s IT to determine where the data

Solutions’ ability to map forecasts to sales regions to

should come from, ensuring data structures

increase the sales force’s sense of ownership.

were consistent and cleansing existing data.



Working with DS Northeast, Heineken built a

demand centers, all the responsibility for their

prototype to test the system

accuracy fell on the supply chain group,” says

and experiment with

Setnes. “Now that we have the forecasts integrated

several approaches.

into the sales-organization structure, we can

The

faced

achieve a much more collaborative approach and

challenges they didn’t

engage in good discussions on how we perform

anticipate. They learned

as a team. Without Demand Solutions, it would

to align their processes

have been hard for us to address this level of

with best practices in

accountability.”

team

the industry.

8 demandsolutions.com

The Heineken forecasting team respected that

“We



“Before, when our forecasts were tied to the

“Our

supply

chain

team

has

moved

went

their forecasting process from the desk to a

through a learning

collaborative process—improving the information

curve,” says Setnes. “Some

sharing and communication across operational,

of the ideas we started with turned

financial, marketing and sales departments,” says

out to be incorrect. We had good support from the

Dan Sullivan, Chief Financial and Operating

Demand Solutions team. They gave us honest advice

Officer at HUSA.

and explained that our original approach would



make the software functions unclear, which would

Holland keep HUSA’s supply chain management

take away from the strength of Demand Solutions.

department on its toes with potential product

Heineken’s research and innovation group in

Did You Know...

launches. One of the brewer’s latest

items such as new product launches,

innovations

another

one-off promotions and unseasonable

level — the level right above freezing

weather to provide a clean history for

make Heineken USA the biggest

temperature. The brewery is testing

predicting forward,” says Setnes. “This

containerized

“Heineken Extra Cold,” an on-premise

is especially helpful when you have

trans-Atlantic.

tap handle that gets so cold that ice forms

introduced new products in the previous

on its exterior. Another innovation is

year. New product launches produce

the 2008 U.S. launch of the BeerTender

very noisy data because there is so much

in cooperation with Krups, a kitchen

loading in at the distributors and retail

appliance manufacturer. The easy-to-use,

level. We plan to take full advantage of

in-home draught system is compatible

Demand Solutions’ separate historical

with the Draught Kegs.

records in our future planning.”





takes

cool

to

The company’s comprehensive supply

Heineken’s forecasts are in the

chain management in the Netherlands

thousands of pallets, but demand often

uses the forecasts received from HUSA

occurs as a salesperson closes a deal for

and other markets around the world to

a few pallets a month. The company can

plan production. It also uses the forecasts

now adapt to the multiple measurement

to manage its operations upstream from

units and has achieved a level of

the breweries and to forecast the levels of

communication that did not exist prior to

packaging and the raw materials that are

Demand Solutions.

required to meet product demand.



“When we share numbers that are

The

16:

numbers

and

facts

importer

that

on

the

percent of the world’s beer

industry the U.S. represents

233: million hectoliters of beer U.S. citizens drink in an average year

1,501:

million hectoliters of beer

consumed globally each year

55,000: containers Holland ships to Heineken USA per year

40: the size in feet of the containers 1,000:

the weekly average number

the

meaningful to sales, we have better

forecasting process takes considerably less

conversations. They can see that the

effort,” says Setnes. “It has spurred better

information they provide us helps keep

conversation with our sales force and we

the demand centers at the right level of

are in a much better place to support new

stock to support their programs,” says

activities moving forward. Before we had

Setnes.

the East Coast

“We have moved from a back-office function with spreadsheet mathematics into a more collaborative effort that creates more value for the company.”

5: the lead time in weeks for beer to



“With

Demand

Solutions,

of containers Heineken USA receives from Holland

8 to 14: the lead time in days for beer to ship from the Netherlands to

Demand Solutions, we were using outdated tools for new activities, and they presented real difficulties. Now we spend less time making the software work and focus on our conversations with the sales team.”

Local Knowledge

Heineken values local-level detail –

in traditional brewing recipes and in data collection. The company can now include and measure the performance of local

ship from the Netherlands to the West Coast

Heineken USA imports several beer brands including: Heineken, Heineken Light,

Heineken

Premium

Light,

Amstel Light, Buckler non-alcoholic brew, and authentic Mexican beers such

detail all the way to the demand centers

as Tecate, Dos Equis, Carta Blanca and

with Demand Solutions. That’s important

Bohemia.

in a business where demand can change rapidly because of weather, pricing and media.

“Demand Solutions keeps a separate

copy of your history, so you can remove DS Magazine

9

Raymarine

What a Catch

Raymarine is Hooked on Demand Solutions

R



company’s sophisticated marine electronics

exaggerate. When he became a consultant for

Klayko is not the kind to name drop or

net recreational boat owners and nautical

Raymarine, he claimed that the Demand Solutions

high rollers who want the ultimate on-board

team could implement a forecasting solution in a few

experience. Its customers live for sea-bound

days, instead of the months and years other systems

adventures and don’t mind spending upwards of

require. That’s when Klayko contacted Mark Thomas

$75,000 on navigation systems, radars, autopilots,

of Demand Solutions, and they embarked on a startup

fish finding gear and satellite TVs.

plan. This was their third implementation together



10 demandsolutions.com

aymarine, Inc. has an eye for success. The

Raymarine’s

largest

product

category

is

– the first two were at Rubbermaid and Vermont

multifunctional displays. The intuitive displays have

American where Klayko previously held positions.

a customizable navigation interface that allows users



to view four of the following features on a single

hardest,” says Thomas. “With our industry experience

screen: 3D chartplotting, HD digital radar, HD Digital

in forecasting and planning, the data layout portion

fishfinder, SIRIUS marine weather, instrumentation

took the most thought – it obviously had to include

and video applications. User-defined “Pages” on

the forecasting decision process and exception

the displays give boaters customizable options with

structure.”

up to four window combinations or full screen



applications for every navigation scenario.  Known

of a weekend and the IT department said ‘no way.’

for its complete collection of marine electronics

And they couldn’t believe it when we had it running

and outstanding customer support, Raymarine lures

in a matter of two days,” says Klayko.

top-of-the-line customers.





“As a matter of fact, we do have equipment on

has become somewhat of an expert. Raymarine was

several celebrities’ yachts,” says Al Klayko, Global

facing major forecasting problems when he arrived.

Forecasting Manager at Raymarine, Inc.

They were using an outdated forecasting package –

“The process of beginning is always the

“I told them we’d have the system up in a matter

A Demand Solutions user since 1993, Klayko

Raymarine

it was so old the vendor had stopped offering support. Klayko gave a recommendation that was three-fold:

Along with increased forecast accuracy, Demand Solutions also helped Raymarine experience an increase in customer satisfaction, decrease in airfreight shipping costs and a decrease in meeting times.

they could continue trying to use the cumbersome system, upgrade their system or implement a new one all together.

The forecasting team knew they could no longer

use the old system, and Raymarine didn’t want to upgrade due to cost and the unintuitive nature of the old program.

The answer was clear – they needed a new,

from new products that have been introduced within the previous

nimble forecasting system.

12 months. Although some of the products are replacements when



“I recommended Demand Solutions because

new versions are released, the forecast also includes brand-new

I knew from past experience that it dramatically

technologies. The forecasters must capture demand for the new

increased forecast accuracy.”

products in the market. In order to do this they use Demand



Solutions’ Curves functionality.

Not everyone on the forecasting team was

as convinced though. The decision came down to



affordability and flexibility. Raymarine had plans

of the U.S. and require a 90-day lead time. Klayko and his team

to implement a new ERP system and needed a

measured Demand Solutions’ success by freezing the forecast three

forecasting program that could easily import and

months in advance, adding the 90 days together, and comparing it to

export data out of the package. Demand Solutions

the actual demands to get absolute variances. They called this their

perfectly matched the company’s needs, as it will

KPI or key performance indicators. Along with increased forecast

work with any ERP package.

accuracy, Demand Solutions also helped Raymarine experience an



increase in customer satisfaction, decrease in airfreight shipping

“You get as much as you need with Demand

A number of Raymarine products are manufactured outside

Solutions and you get a more user-friendly system

costs and a decrease in meeting times.

without the high price,” Klayko recalls telling the



team.

mid to upper 80 percent,” says Klayko. “Since we implemented



Once

they

organized

the

data,

Demand

“Our customer service when I came on board in 2006 was

Demand Solutions, we consistently hit 95 to 98 percent service

Solutions was implemented in just two days. No

levels.”

one could believe it, except Klayko. Demand



Solutions’ capabilities continued to surprise the team.

U.S. market for marine electronics, likely

Raymarine’s forecast accuracy never exceeded 56

because marine fuel is averaging $4.20 per

percent while using the old system.

gallon, Klayko says Demand Solutions



easily saves Raymarine at least

“Within three months of implementing Demand

Although there has been a downturn in the

Solutions, our accuracy was within 60 to 70 percent,”

$500,000 a year. Now

says Klayko.

that’s an impressive



catch.

Raymarine experienced higher forecast accuracy

on what they call the “top 40” – the 40 items that represent 70 percent of the business. Three months after implementation, those items consistently hit between 77 and 85 percent accuracy.

“The DS implementation was a dramatic

success,” says Klayko.

The forecasters at Raymarine face even tougher

challenges than forecasting the “top 40.” The company has a goal to earn 25 percent of its revenue DS Magazine

11

Hallstar

Start with a number. Start with Demand Solutions.

S

tart with a number. It sounds like common

from, HallStar selected Demand Solutions® Forecast

sense, yet many businesses do not base

Management (DS FM) in 2000 because it is the

supply on a realistic plan of future

easiest to use tool with understandable logic.

demand.





One company that has realized the benefits

organization and understood how we wanted to run

of starting with a number is HallStar. Following

the business, Demand Solutions was the perfect fit

a complete business-model redesign in 1999, the

to implement that forward-looking view,” says Kim

company changed nearly every aspect of its business

Buchholz, Director of Order Fulfillment.

– becoming a demand-driven entity. HallStar is a



producer and distributor of personal care ingredients

could agree on, the HallStar team knew the tool

and polymer additives, a big change from its origins

had to be easy to understand as well as easy to

as a rubber chemicals distributor named The CP Hall

use. While many software companies boast about

Company. With a new purpose and new name, the

highly mathematical forecasts that generate the

company did not want to perpetuate mistakes of the

best number based on complex statistics, Demand

past such as planning from forecasts that were static

Solutions has a different approach. With 23 years

repeats of the months prior. HallStar implemented

of expertise, Demand Solutions understands that

Demand Solutions in three days and has been looking

too often the best number is not the right number.

forward ever since.

DS FM automatically selects the most appropriate



The

start-with-a-number

approach

In order to obtain a number the whole company

means

of its 20 algorithms for each item based on a “best

starting with a forecast. A quality forecasting tool

fit” simulation of how well each formula was able to

is therefore the main artery of all demand-driven

predict the item’s known demand.

organizations. With hundreds of programs to choose

12 demandsolutions.com

“Once we decided to be a demand-focused

Hallstar

Did You Know... Esters

are

a

class

of

chemical

compounds, or additives, that give products

additional

performance

characteristics. HallStar has nearly 50 patents mostly in ester linkages, rubbers and high polarity and reactive esters. HallStar recently introduced a line of renewable esters to kickoff the

“We had been told up front that

decade of use, it continues to improve our

company’s focus on green chemistry.

Demand Solutions was easy to use, but it

company.”

Hallgreen™ esters make biodegradable

was nice to finally have a product live up to



plastics less brittle and therefore easier

the sales pitch,” says Buchholz.

and its focus on demand planning, the



Prior to HallStar’s change of business

to use.

Growing companies such as HallStar

company was not manufacturing enough

need a forecasting tool to support their

to meet some customers’ demand and

expansion. HallStar has acquired and sold

producing too much for others. Demand

several product lines in the past decade

Solutions has helped HallStar reduce

Although HallStar’s products aren’t

while using Demand Solutions – the

inventory as a percent of sales by eight

sold on store shelves, the company’s

company acquired two and sold two in 2007

points and increase on-time service levels to

esters and polymer additives improve

alone. HallStar is efficient with acquisitions

95 percent or higher.

hundreds of end-use products such as:

because of Demand Solutions’ Import/



Export and Supersession functionalities.

benefit. When internal departments such as

Buchholz says that during an acquisition she

sales, marketing and operations have the

uploads the history from the new business

same goal, the outcome is more substantial.

and immediately knows the 12-month

The employees at HallStar are now playing

plan going forward. The Supersession

for the same team, trying to arrive at the

utility allows her to easily phase in and out

same number, says Buchholz.

products.





“When we’re expecting a new piece of

Solutions so much that she has remained the

business in the next week or month that’s

company’s primary DS FM user even though

different from our historical perspective,

she now manages several departments.

I put it in DS FM and my planners



immediately know how much raw material

part of my job description because I continue

we need to start procuring to support the

to receive value from Demand Solutions,”

anticipated business,” says Buchholz.

says Buchholz. “Everyday I learn new

Improved communication is a priceless

Buchholz

enjoys

using

Demand

“I’ve kept the demand-planning role as

Sunscreen Hair care products Inner tubes Cables Automotive interiors Print rolls Skin care Airbag covers Wire Film and sheet Color cosmetics

functions, and forecasting gives me a great

Start with a Number, End with Results

HallStar

has

prospered

overview of our entire operation.” as

a

demand-driven business with the help of Demand Solutions.

“The results were immediate because it

only took three days to implement Demand

Demand Solutions has helped more

than 1,500 customers center their operations on demand planning. For HallStar, the start-with-a-number approach has decreased inventory, improved customer service levels and increased internal communication.

Solutions,” says Buchholz. “Even after a DS Magazine

13

Kyocera

Success That is Tough to Copy

W

ith its head office in Japan, factories in

an order, the head office locks the finished-goods

China and a distribution area extending

forecast into a 10 percent variance. With little room

throughout Australia, New Zealand and

for error, the forecasters rely on Demand Solutions.

Oceania – Kyocera Mita Australia faces inherent



geographical inconveniences. This distributor of

operation, it’s important that we trust our forecasting

document-management devices also grapples with

tool,” says Fraser. “Demand Solutions has earned our

three-month lead times, purchase-order constraints

confidence with consistent and accurate reporting.”

and stocking commitments. Considering the looming



challenges, Kyocera Mita Australia’s success with

economic success with Demand Solutions Forecast

Demand Solutions is tough to copy.

Management (DS FM) and Requirements Planning



(DS RP) since implementation in 2001.

A subsidiary of Kyocera Group, Kyocera Mita

The company has experienced tremendous

Australia distributes black & white and color digital



copiers, network-ready multifunctional devices and

internal discipline, has reduced our inventory by 60

laser printers as well as a range of wide-format

percent, causing our storage and shipping costs to

imaging products. John Fraser, Logistics and

also reduce by 60 percent,” says Fraser. “The return

Operations Manager, says that forecast accuracy is

on investment has been unbelievable.”

critical in his industry as his team manages frequent



model changes, short life-cycle products and spare

Kyocera Mita Australia must also keep a stocking

parts.

commitment. At the beginning of each month, the

Mastering Forecasting

“Demand Solutions, combined with improved

Along

with

purchase-order

constraints,

company can only have one-month’s stock on hand with a grace period of another month – a maximum

Kyocera Mita Australia’s head office in Osaka,

of two-month’s stock. Constantly aiming to improve,

Japan requires a rolling 12-month forecast from

the forecasting team tries to carry the minimum

Fraser’s team to plan for production. Although the

one-month inventory.

company manages more than 10,000 SKUs, many of



them are spare parts and are not subject to the same

on the market, Demand Solutions does not require

order constraints as finished goods and consumables.

my team to conform to the software,” says Fraser.



As the purchase-order date approaches for

“The tool supports multiple processes and ways of

finished goods for example, the company locks the

thinking. We have the freedom to decide what’s best

forecast into an increasingly strict variance of what

for us and our operation.”

the team can change. The month before placing

14 demandsolutions.com

“Because one small mistake can shake up our

“Unlike most supply chain planning packages

Kyocera

Original Thinking

Although Australia is the smallest of the

continents, it’s nonetheless a vast distribution area. Kyocera Mita Australia has regional sales offices in each of the five main states and in New Zealand. The factories located in China and Japan currently ship all of the company’s stock to Sydney where a third-party logistics provider then delivers it to customers throughout the continent.

In order to get closer to the customer and increase

efficiency, the company is planning to redesign its physical supply chain. Under the new model, Kyocera Mita Australia will replenish stock directly from the factories in Asia to third-party warehouses in each

“Kyocera has exceptional processes in place,” says Anthony Fitzgerald, Implementer and Business Consultant for Demand Management Australia. “They are committed to ongoing process improvement and use the software to garner true financial gain.”

of the capital cities – cutting out the bottleneck effect that happens in Sydney. As the company removes a logistical step, it is adding a forecasting one – requiring each state to submit a forecast.

“We don’t want to be in a

situation where we have too much inventory because it could be a long way away from where we need to stock,” says Fraser. “That’s why we’re going to use a Demand Solutions Collaboration tool – DS Feedback – to give regional sales managers the opportunity to own their sales forecast.”

Kyocera Mita Australia implemented DS

Feedback in New Zealand in 2006 and plans to implement it in Australia soon. The collaborative module extends the core forecasting activity to include internal departments as well as external trading partners.

A fourth-year employee of Kyocera Mita

Australia, Fraser recently accepted the Demand Solutions Crystal Ball Award on behalf of his company. The prestigious award is an acknowledgement of consistent and successful outcomes using the DS product suite.

DS Magazine

15

CML

It can be a dark world as a supplier to the automotive industry CML Sees the Light

automotive lighting solutions. The French division is the only location devoted to the automobile industry and provides

Speed-of-Light Success

With Demand Solutions, CML France

no longer needs to worry about customer

interior and exterior lighting

service levels dropping. The company now

solutions. CML France

uses customer forecasts to its advantage and

lights up thousands of

new product launches have become almost

cars for companies

painless. It validates the customer forecasts

such as Renault,

against the statistical forecast from DS

Volkswagen,

FM – using these two data streams allows

Mercedes-Benz,

the forecaster to manage by exception and

BMW,

Honda,

improve forecast accuracy. This forward

GM and Toyota –

visibility and improved data management

to name a few. It was

have resulted in less time spent solving

the first division to implement

unexpected problems.

Demand Solutions in 2005. Despite there being almost 10,000 part numbers in the

The company has experienced substantial growth yet inventories have stayed constant.

company’s database, the Demand Solutions

C

team implemented Forecast Management ustomer forecasts once threatened

(DS FM) and interfaced it to CML’s Mapics

CML France’s status as a top

ERP system in less than 60 days.

supplier to the automotive industry.



Prior to Demand Solutions, unreliable

The leader in LED automotive lighting, CML

customer forecasts and unplanned new

used to struggle to maintain the industry’s

product releases jeopardized the business.



strict customer service requirements of 95

CML France had no way to independently

our customer service levels by almost 10

percent or better. Now the supplier exceeds

forecast demand and check customer

percent,” says Jean-Louis Jouffroy, Supply

them. CML France shines the light for that

forecast accuracy. They also had no tools to

Chain Manager Europe. “We have remained

success on the introduction of Demand

help with the challenging task of predicting

a leader in this market because of Demand

Solutions.

new product demand. With more than 100

Solutions.”



“Demand Solutions has increased

CML France is a division of CML

customers submitting forecasts and 20 to 30



Innovative Technologies, a global company

new SKUs released each year, the company

service levels were the company’s main

that

found itself in a constant guessing game.

concern,

manufactures

multimarket

16 demandsolutions.com

and

Although they’ve

increasing received

customer additional,

CML

“Demand Solutions has increased our customer service levels by almost 10 percent. We have remained a leader in this market because of Demand Solutions.” — Jean-Louis Jouffroy, Supply Chain Manager Europe

unexpected benefits from the introduction of Demand Solutions. As most companies grow, inventories and costs tend to rise in conjunction. That has not been the case for CML. Since the implementation of Demand Solutions, the company has experienced substantial growth yet inventories have stayed constant.

with DS FM’s



statistical forecasts.

“Demand Solutions has allowed us to

manage our inventory so tightly that we

Exceptions are flagged and

haven’t had to increase it in line with our

managed. In this way, everyone

increasing sales,” says Jouffroy. “Our

can now focus on his or her specific

company has been growing every year and

duties, instead of working through a maze

we haven’t had to stock more to meet these

of Excel spreadsheets in an attempt to come

increased sales. Demand Solutions has

up with a forecast number.

therefore significantly increased our profits.”



Along with these savings, CML France also

whole forecasting process,” says Jouffroy.

saves on the carrying costs connected to the

“We now use the forecast from DS FM in

inventory.

our monthly S&OP meetings. The new



process has encouraged efficiency along

The company’s implementation of

“Demand Solutions has changed our

Demand Solutions has also encouraged a

with accuracy.”

brand-new process for forecasting. CML



France previously involved several people

light of the French division’s success. The

from multiple departments in the forecasting

divisions in Europe and overseas are also

process. It has since dedicated one person

now looking at the benefits of planning with

to analyze the customer forecasts along

Demand Solutions.

Forward visibility and improved data management have resulted in less time spent solving unexpected problems.

Other CML divisions are seeing the

DS Magazine

17

Slime

Demand Solutions Prevents Supply Chain from Going Flat

A

lthough the name might sound like a comic

It reminds me of our slogan at Slime – There’s No

book villain’s weapon, Slime is actually the

Stopping You!”

most widely distributed brand of tire sealant.



The thick, green goo that originated in a garage is

Demand Solutions integrated seamlessly with its

quickly oozing its way into tires around the world.

Macola ERP system. The company implemented



Slime is the 75th fastest growing consumer

Demand Solutions Forecast Management (DS FM)

products company in the country, according to a

in 2001 and Requirements Planning (DS RP) in

recent Inc. 5,000 report. It has grown substantially

2004.

since its start in 1989 and now sells several product

18 demandsolutions.com

A crucial selling point for Slime was that

lines along with its original Slime Tire Sealant. The

Filling In the Cracks

leader in flat-tire prevention and repair manages



6,000 item/location records − about 800 SKUs −

centers

of inflation systems, accessories, sealant products,

Solutions helps Slime make sense of its sticky

tubes and hundreds of product combinations. With

supply chain. Of all the company’s products, the tire

inventory in 14 locations and more than 50,000

sealant has the longest itinerary. Slime blends the

retail-distribution points in 36 countries, Slime relies

raw components at company headquarters in Grover

on Demand Solutions to meet its demand and supply

Beach, Calif., then ships the sealant to manufacturers

chain planning goals.

in China for insertion into tire-repair kits. The



“We chose Demand Solutions because of its

manufacturers ship the finished product back to

ease of use, flexibility and expertise,” says Mark

a distribution center in Los Angeles where Slime

Pritchard, V.P. Operations. “Demand Solutions is

ships it to retailers’ distribution centers. From the

the perfect fit for a fast-growing company like ours.

distribution centers, the retailers deliver Slime to the

With up to 12-week lead times and distribution spanning

several

continents,

Demand

Slime

stores where customers can purchase a safe

CPFR team at the

and effective alternative to cumbersome

account didn’t know

spare tires.

what had happened.”



Unfortunately,

there

is

never

a



The

demand

convenient time for a flat tire. According

spiked

to the American Automobile Association’s

someone at the head

Foundation for Traffic Safety, 60 percent

office

of motorists have had a flat tire in the past

additional facing to

five years, and 75 percent of drivers cite

display the product

punctures as the most common cause of flats.

and didn’t share the

Motorists aren’t the only ones affected. Flat

addition with the CPFR team. Fortunately,

tires can cause major business delays that

Slime was able to meet the increased demand

can lead to deflated efficiency and profits.

and the situation became a testament to the



power of Demand Solutions.

One tire-repair kit under high demand

because added

an

is the Smart Spair™. It simultaneously



seals punctures while inflating the tire in

says Rofheart. “We can see if something

“Demand Solutions gives us visibility,”

less than 10 minutes. Slime tire sealant

is abnormal and start asking questions

has been tested and proven to seal more

and chasing it down before it becomes a

than 100 punctures in a single tire, and it is

problem. Demand Solutions is essential for

guaranteed to last for up to two years in the

a high-growth business like ours.”

tire. Slime also helps fleet and commercial



operations prevent expensive downtime due

that purchases goods almost three months

to flat tires.

in advance. The buyers have to count on

Visibility is necessary for a company

the DS FM forecast, especially because

Forecasting Speed Bumps

Without a quality forecasting tool,

lapses in the process can turn slow leaks into blowouts – Slime’s Demand Manager and long-time Demand Solutions user Debba Rofheart knows that from experience. She recalls one instance where Demand Solutions saved the company from a disaster. A main customer’s average order of a product drastically increased from 1,800 items up to 8,500 in one month causing mass confusion between the demand and supply teams.

a surprise order can set inventory levels back three months. Slime has established a fluid process of reviewing and updating the forecasts daily along with doing a monthly master forecast. The company is now operating in real time for receiving, closing work orders and invoicing.

“Slime would not be as successful

without Demand Solutions. It is hard to quantify how much the software has saved us because our company has grown nearly 400 percent in seven years,” says Pritchard. “But, we definitely would not be where we are at without Demand Solutions.”

“Because of Demand Solutions we

were able to find the mistake before it did any damage,” says Rofheart. “Even the DS Magazine

19

EMPLOYEE Spotlight

Customer Support

Demand Solutions Employee Spotlight: Anthony Fitzgerald Demand Solutions has the tools to manage complex planning requirements and provide

“Regardless of the nature of the demand profile,

visibility into even the most challenging supply chain structures,” says Fitzgerald, who recently celebrated his seventh year with the company. “In all of the implementations we’ve done in Australia and Asia, we’ve been able to develop specific processes to alleviate the particular business problems. As a consultant, that is one of the rewards of the job.” Anthony Fitzgerald is one of 10 Demand Solutions Business Consultants in Australia.

M

ost,

global

warehouse network. This experience has

they are in Asia,” says Fitzgerald. “Not

companies face the challenge

if

not

all,

proven invaluable in his present role with

just culturally, but also in manufacturing

of long lead times. With

Demand Solutions.

and the way people are approaching

customer expectations constantly on the



business.”

rise, inventory must align with demand

of Demand Management Systems, and



if businesses expect to increase profits.

Fitzgerald

himself

visibility for each company he works with,

Having worked in manufacturing for

working as a consultant to his old

Fitzgerald employs creative solutions to

more than 20 years, then in the import

company. It’s a small world, especially

overcome complex business problems. A

arena, Anthony Fitzgerald, a Business

for the Demand Solutions network.

notable success is National Starch. The

Consultant for Demand Management



company needed a Master Scheduling

Systems in Australia and Asia Pacific,

employees,

a

process for adhesive (fluid) products to

understands firsthand the importance of

customer. During a previous position

fill various container sizes automatically

long-term, supply chain visibility.

as Logistics Manager at Swift and

in order to utilize the full volume of a



“There is no such thing as the

Moore, importers of premium alcoholic

fixed-batch quantity. Fitzgerald created a

comfort of receiving a supply order

beverages, he managed the successful

solution and requested an enhancement to

the next day like many businesses can

implementation of Demand Solutions.

the DS RP software that solved National

do in the Americas and Europe,” says

In 2001, Fitzgerald finally joined the

Starch’s container dilemma.

Fitzgerald. “Forecasting across long lead

Australia/Asia Pacific team.



times is absolutely critical to the success



Fitzgerald’s position with Demand

consulting success is Kyocera Mita

of Asian and Australian enterprises.”

Management Systems has made the world

Australia (see page 14). Internal discipline



The Crane Group is now a customer

Like

sometimes

many

finds

Demand

Fitzgerald

Solutions

started

as

On a quest to ensure supply chain

Another testament to Fitzgerald’s

As National Inventory Manager at

seem even smaller for him. He frequently

combined with Fitzgerald’s direction and

Crane Enfield Metals, a manufacturer and

travels throughout Asia – a region he

Demand Solutions earned the company a

distributor of nonferrous metal products

sees as rapidly embracing the benefits of

60 percent reduction in inventory - even

to Australia and Southeast Asia, he was

global supply chains.

with three-month lead times.

responsible for forecasting, production



planning and distribution to a national

major

20 demandsolutions.com

“If you look worldwide, where the breakthroughs

are

happening,

S&OP

Focus: Sales & Operations Planning Demand Solutions makes it extremely easy to arrive at the right numbers to make strategic decisions.

J

ust say the words Sales & Operations



Planning, or S&OP, and people will listen.

Dick Ling’s S&OP expertise, we have come up

Bringing together Demand Solutions and

Its buzzword popularity is nearly equivalent

with the four main requirements for a successful

to the excitement over tried and true three-letter

S&OP solution. As one of our power users says,

acronyms such as ERP and CRM. The largest

“It’s simple, but it’s not easy.”

companies are no longer the only ones adopting



this strategic planning process. Everyone wants

Simplify the Data-Gathering Process

S&OP and scores of companies claim to have the perfect solution. Despite the widespread acceptance and popularity of the process, many do not know what features to evaluate when shopping for a dedicated tool.

Demand Solutions’ history with S&OP

dates back to its release of the first, stand-alone S&OP solution to the market in 1992. It happened shortly after Dick Ling along with his team at



The first step to the S&OP process is collecting

all of a company’s data. Considering the various internal departments and external partners even the smallest organizations have, this step is not easy. It is therefore essential for a stand-alone S&OP tool to have a smooth process of consolidating the numerous plans.

Oliver Wight revealed their concept of integrating the demand and supply streams into one view for strategic decision making. They named it Sales & Operations Planning. Dick Ling personally assisted Demand Solutions with the very first S&OP software planning tool. “S&OP was like my younger brother growing up,” says Rick Ling, Demand Solutions representative.

Demand Solutions drives successful sales & operations planning

DS Magazine

21

S&OP



Demand Solutions S&OP (DS S&OP) supports



Turtle Wax, the number one selling brand of car

this by directly integrating with any supply or

care products in the world, implemented an S&OP

demand planning tool. Through an Import/Export

process more than a year ago to improve inventory

utility, which accepts data from the DS system as

management.

well as others, multiple departments can easily share



valuable information.

At Sara Lee’s Douwe-Egberts coffee division

in the UK, DS S&OP is used to consolidate the year-to-date and forecasts from individual sales managers to create a master view of its coffee business. From this view, executives can see opportunities by product, by customer and by product

category.

“With DS S&OP, I can get the direct customer

contribution by sector. This allows me to monitor

“Demand Solutions is one of only three software providers who provide a specialized S&OP module,” says Nari Viswanathan, Research Director at Aberdeen Group.

trade spend and profitability by each account,” says Chris Pitt, National Account Manager. “I can



compare multiple accounts such as Tesco compared

accountable for its data and encourages internal

to Morrison’s or Sainsbury’s – the three major

collaboration to ensure the data is accurate before

English grocery chains.”

presenting it to upper management,” says Don



DuBay, Director of Information Technology.

The S&OP process gives visibility to the key

performance indicators (KPIs) and allows executives



to tailor business plans around the exceptions.

there are issues in the organization and allows them



to address imbalances with easily verifiable data

“This has forced us to focus on the core

DS S&OP shows everyone involved where

profitable accounts and on the more profitable

before meeting with C-level executives.

promotions,” says Pitt. “It has made us look at



how we develop our promotions and the types of

alumina with recognized leadership in technology

promotions that are more profitable.”

sales and technical assistance for alumina processing.



Alcan Cable is a leading producer of bauxite and

The company implemented DS S&OP to increase

Easy Data Validation

customer satisfaction.

The term “dueling spreadsheets” is too familiar



“The benefit of an S&OP process is getting

to executives. A good S&OP tool should eradicate

everyone to understand one another’s roles within

planning controversies by providing a transparent

the company in terms of the big picture,” says Scott

process for comparing supply and demand data. To

Ballard, Director of Planning. “Years ago, each

validate the data further, an S&OP tool should then

department operated in silos. With an S&OP process

incorporate collaboration with sales and customers

in place, everyone can work towards the same goal

about promotions to verify the forecast numbers are

of satisfying the customer.”

the most realistic.

DS

S&OP

facilitates

the

demand/supply

reconciliation process of the pre-S&OP meetings by validating the data. The pre-S&OP meetings are designed to fix any problems in the balance between demand and supply before the monthly S&OP meetings.

22 demandsolutions.com

“The S&OP process holds each department

S&OP

“With an S&OP process in place, our inventory turns have nearly doubled,” says DuBay at Turtle Wax. “Although the process requires commitment and hard work, seeing the improvements firsthand makes it all worth it.” Be Flexible: Run Your S&OP to Your Rules – Not the Tools’

Integration to Make the Complex Simple

The

final

and

most

important

A complete S&OP process involves

requirement for a good S&OP tool is that it

every department, and departments naturally

should support the S&OP process at all levels

see data in different ways.

of a business through integration. Only an



integrated solution will allow visibility into



Demand Solutions allows users to

customize the data content and the layout

the families that have problems.

of their S&OP sheets so they know and



understand what the executive S&OP report says about their data. The Summary Views feature allows users to create multiple views of the data to support each of the steps in a pre-S&OP meeting process. Source Record Views provide even more depth into each family. The function allows users to enter spreadsheet formulas to create customized

The Demand Solutions product suite

builds a solid S&OP process. Importing and exporting files is easy because of the inherent mapping tools in DS S&OP. After generating a forecast, users can collaborate with sales and the agreed-upon forecast then travels to the supply team and becomes the supply plan. Finally, in DS S&OP,

calculations for analysis. The customer

executives decide what the integrated sales,

can add additional metrics or KPIs that are

production and inventory plan will be.

important to the business.



“With an S&OP process in place, our

primarily

inventory turns have nearly doubled,” says

focused on supply and the demand team

DuBay at Turtle Wax. “Although the process requires commitment and hard work, seeing the improvements firsthand makes it all worth it.”



“The

supply

team

is

on demand,” says DuBay at Turtle Wax. “Consolidating the multiple points of view into one picture allows us to see areas that need improvement.”

Demand Solutions’ superior functionality makes the S&OP process simple – every step of the way. Through Performance Evaluation and Filtering in Forecast Management (DS FM), Action Messages and Exception Filtering in Requirements Planning (DS RP), and Business Plan Deviation Filters in DS S&OP, a company can develop a strategic and realistic business plan. “For us, the S&OP process is about better satisfying our customers,” says Ballard at Alcan Cable. “We want to be able to make realistic commitments and execute them with as little working capital as possible.” “The greatest value of S&OP is that it provides a single set of numbers everyone can trust – even the executives,” says Pitt at Douwe-Egberts. In short, whether you look at S&OP top down or bottom up; whether you use DS RP and FM or other tools, when evaluating a strategic planning tool, look for simplicity. Dynamic business planning is hard enough without having the software add to the complexity.

“Everyone that sees the data I provide from DS S&OP loves the single-screen view of our company,” says Ballard at Alcan Cable. “The ability to quickly and visually see the impact of changes to production and sales volume on the three main components of our business — sales, production and inventory — enhances our decision-making process.”

DS Magazine

23

Demand Solutions’ 2008 Customer Conference

Phoenix, Arizona Conference: September 28 - October 1 Training: September 26 - 27 www.demandsolutions.com/conference Demand Management invites you to join the growing network of Demand Solutions customers at our best conference yet. Learn new techniques and functionality of Demand Solutions. Share supply chain trends and planning strategies. Relax and enjoy The Desert Ridge in Phoenix, Arizona. Obtain insight from keynote speaker André Martin, a pioneer in retail supply chains and author of Flowcasting The Retail Supply Chain.