Procter & Gamble implement demand sensing

Procter-GambleThe Procter & Gamble Company (P&G) has started a global implementation of Terra Technology’s Multi-Enterprise Demand Sensing (MDS) to better meet the needs of retailers and consumers around the world. The implementation demonstrates P&G’s commitment to using available information about consumer and customer behaviour in all markets, leading to improved performance and decreased costs across the globe.

“We are implementing MDS because traditional demand planning is simply not sufficient anymore,” said Rafal Porzucek, Global Process Leader Demand Planning at Procter & Gamble. “New products, new markets and increased economic uncertainty have created pervasive volatility, and today’s supply chain requires technology to access and analyze as much information as possible to successfully forecast consumer demand. By implementing MDS we are using customer data to efficiently drive our supply chain and lowering forecast error.”

MDS uses downstream data from all available sources – including POS, channel inventory, warehouse withdrawals, distributor data and retailer forecasts – providing visibility into current movement of products and enabling Procter & Gamble to more accurately predict demand.


Last month AkzoNobel also purchased Terra Technology’s Demand Sensing and Multi-Enterprise Inventory Optimization solutions. The global paints and coatings company uses the solution to improve demand predictability and reduce inventory across Europe and Africa. “AkzoNobel chose Demand Sensing and Multi-Enterprise Inventory Optimization after a successful pilot in Europe demonstrated a 29 percent reduction in forecast error and the opportunity to reduce several days of inventory,” said Alain Crottaz, EMEA Planning Director, AkzoNobel in the press release of June 11. “Better forecast accuracy and an optimized safety stock engine provided by Multi-Enterprise Inventory Optimization will help us achieve our key goals of lowering stock while improving customer service.”