Peer Group Benchmarking and Analysis Will Help Companies Improve Demand Planning Performance
Atlanta – December 8, 2011 – Chainalytics LLC, a leading supply chain research, analytics, and consulting firm focused on enabling fact-based supply chain decisions, announced today the launch of its Sales and Operations Variability Consortium, or S&OVC. Chainalytics’ newest supply chain intelligence offering will help member companies assess their demand variability relative to peers, identify the sources of variability, and help them improve the effectiveness of their demand planning organization.
The S&OVC will employ a model-based benchmarking approach similar to that of its Freight Market Intelligence Consortium, which was developed over the last seven years. Chainalytics S&OVC will utilize transaction-level data as well as traditional demand planning policies surveys — integrating the best elements of traditional benchmarking with advanced quantitative modeling techniques to create more detailed and insightful “apples-to-apples” comparisons. The resulting models for forecast accuracy and bias will allow member companies to understand their demand planning performance at a level of detail that targets actionable improvement opportunities based on their unique business characteristics. Future models will also evaluate supply variability and lead time.
Earlier this year, Chainalytics demonstrated the value of the S&OVC when it executed a charter model involving eight business units across the Consumer Goods Manufacturing industry. Exceeding expectations, Chainalytics successfully defined a predictive model drawing correlations between leading practices and forecast accuracy performance.
“The results of the S&OVC Charter Round were impressive,” said Robert Lim, Vice President of Production Planning and Inventory Control at Del Monte Foods. “Chainalytics has a truly unique approach to benchmarking demand planning performance. The potential value to ours and other organizations is tremendous.”
In 2012, Chainalytics plans to complete the S&OVC’s inaugural model, remaining focused on North American consumer goods manufacturing. Chainalytics has embarked on a membership drive that will conclude in the first quarter of 2012, at which time data collection and analysis will commence. Chainalytics expects to report the results to its member companies in the second quarter of 2012. To learn more about Chainalytics’ Sales & Operations Variability Consortium, please email Patrick Boyle at pboyle@chainalytics.com.
About Chainalytics
Chainalytics is supply chain research, analytics, and consulting firm that enhances competitive advantage and shareholder value through optimized supply chain strategies. Using a fact-based decision making approach, Chainalytics accelerates and improves supply chain performance. Chainalytics offers both project-based and managed services using a unique combination of domain expertise, resilient methodologies, and exclusive research and content — all supported by the world’s most advanced decision sciences tools and techniques. Chainalytics targets enterprises with a high degree of complexity created by their unique combination of scale, variability, and geography. With locations in North America and Asia, Chainalytics serves companies globally in a borderless fashion. To learn more, visit www.chainalytics.com.