The Procter & Gamble Company, manufacturer of consumer products, has selected Terra's Multi-Enterprise Demand Sensing (MDS) solution to further improve forecast accuracy and demand visibility. In a recent model, the software reduced forecast error by more than 50 percent in certain categories for forecasts three weeks out or less.
Dick Clark, associate director, demand planning for Procter & Gamble, said, "Procter & Gamble selected Terra Technology's Multi-Enterprise Demand Sensing to analyze the tremendous amount of daily demand information available from key retailers and create a single, more accurate forecast. MDS analyzes POS, channel inventory and retailer forecasts to determine what information is relevant and creates a significantly more accurate forecast for P&G."
Robert F. Byrne, president and CEO of Terra Technology, said, "Procter & Gamble is the consumer products supply chain leader and continues to adopt new technologies to improve both efficiency and service to retailers and consumers. By implementing Multi-Enterprise Demand Sensing, P&G will significantly improve short term forecast accuracy."
Multi-Enterprise Demand Sensing reconciles daily demand signals from all echelons in the supply chain including Point-of-Sale data, retailer warehouse and outlet inventory, and retailer forecasts. MDS uses pattern recognition mathematics to decipher which information is predictive. Procter & Gamble modeled the software in several businesses.