Solution improves forecast accuracy up to 40 percent across time horizons months into the future
Norwalk, Conn., May 15, 2012 – Terra Technology, provider of supply chain solutions for consumer products companies, today introduced the newest addition to Terra’s Demand Sensing product suite, Long-Term Demand Sensing (LDS). LDS rounds out the suite to provide more accurate forecasts across all time horizons, whether near term for deployment or long term for strategic planning. It extends Terra’s proven pattern recognition technology to replace outdated statistical forecasting engines and improve forecast accuracy by up to 40 percent across time horizons of multiple months or years.
“Long-Term Demand Sensing brings the accuracy and automation of demand sensing technology to long-term planning,” said Robert Byrne, president and CEO of Terra Technology. “LDS improves forecast accuracy using maximum automation, removing the need for statisticians to individually review and refine each model. This ensures cost-effective scalability to meet the needs of the world’s largest consumer goods companies and the most complex supply chains.”
LDS helps manufacturers improve the performance of popular demand planning tools from companies including SAP, JDA and Oracle and maximize the return on these prior investments. As an enhanced statistical forecast engine, LDS provides a better starting point than legacy solutions, freeing planners from correcting initial forecast outputs that are clearly unrealistic. This lets them focus on areas that require knowledge outside of forecasting systems, such as planning promotions or changing network design to improve cost-efficiency. The net result is a more accurate prediction of future demand and increased planner productivity.
Other solutions in the Demand Sensing family include:
- · Demand Sensing – Improves short-term forecast accuracy for horizons of up to 13 weeks by analyzing current demand signals, including orders, shipments and other daily supply chain data. Weekly forecast error is typically reduced by 30 to 40 percent.
- · Multi-Enterprise Demand Sensing – Analyzes downstream data, including POS, channel inventory, warehouse withdrawals and retailer forecasts to create even more accurate forecasts, typically doubling the impact of Demand Sensing.
For further information, please contact:
Paul van de Braak
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