Dramatic Improvement in Forecast Accuracy Prompts Full Deployment
Norwalk, Conn., 24 April, 2012 – Terra Technology, provider of supply chain solutions for consumer products companies, today announced that Kellogg Company (NYSE:K), the world’s leading producer of cereal and a leading producer of snacks and frozen foods, has chosen Terra Technology’s Demand Sensing solution. Demand Sensing will help Kellogg respond faster to shifts in product demand and better serve the needs of its customers and consumers.
During a recent pilot of Demand Sensing’s capabilities, Kellogg Company’s forecast accuracy was significantly improved. Greater forecast accuracy allows the company to improve in stock availability while reducing costs.
“We are deploying Terra Technology’s Demand Sensing as part of our strategy to create an even more consumer-centric supply chain,” said Richard Dregne, vice president, sales and operations planning, Kellogg North America. “Demand Sensing provides a much improved real-time picture of customer demand that enables Kellogg to proactively shift our product mix to better ensure our products are always on store shelves when consumers are ready to make a purchase. Improving forecast accuracy helps Kellogg contain costs while meeting consumer demand.”
“We are thrilled to have Kellogg as a customer. The company’s commitment to meeting consumer needs demonstrates why they are the world’s leading producer of cereal. It is very gratifying that the better mathematics in our Demand Sensing solution will help Kellogg further improve forecast accuracy and enhance customer service while reducing inventory,” said Robert F. Byrne, president and CEO of Terra Technology. “In today’s volatile markets, increasing on-shelf availability improves consumer satisfaction while driving revenue.”
Paul van de Braak
About Kellogg Company
With 2011 sales of more than $13 billion, Kellogg Company (NYSE: K) is the world’s leading producer of cereal and a leading producer of snacks and frozen foods. Our well-loved brands – produced in 18 countries and marketed in more than 180 countries – include Cheez-It®, Coco Pops®, Corn Flakes®, Eggo®, Frosted Flakes®, Kashi®, Keebler®, Kellogg’s®, Mini-Wheats®, Pop-Tarts®, Rice Krispies®, Special K®, and many more. To learn more about Kellogg Company, including our corporate responsibility initiatives and rich heritage, please visit www.kelloggcompany.com.
About Terra Technology
Terra Technology is a provider of supply chain solutions for consumer products companies. Terra Technology’s solutions use better mathematics and downstream data like point of sale to improve supply chain performance, reducing forecast error up to 50 percent and inventory up to 20 percent. More accurate forecasts save money, lower inventory, improve customer service and decrease waste. Some of the world’s best-known consumer packaged goods companies use Terra Technology, including Procter & Gamble, Unilever, Kraft Foods, Kimberly-Clark, General Mills, Kellogg Company, ConAgra Foods and Campbell Soup. For more information, please visit www.terratechnology.com or call +1 203 847 4007 x127.
SOURCE: Submitted by Effective Communications