The value of retail data sharing in terms of improving demand planning alignment
| Interview quote | Aggregated dimension | SCM value |
|---|---|---|
| Yes, sharing replenishment forecasts has reduced my workload, although I still need to place preorders for events like Midsummer and Christmas … I would like to replace pre-orders through replenishment forecasts. – RetailCo1 | Automation of Routine Planning Processes | |
| The suppliers sometimes ask us questions about the products, but we always try to guide them to use our (information) portal and advise them to refer to the forecast available there. – Retail Co2 | Tactical and Operational Benefits | |
| It’s not feasible for us to hold meetings with all our suppliers whenever changes occur … We share our replenishment forecasts in advance, followed by order rates. If there’s a mistake or confusion, we address it through a meeting if necessary. – RetailCo3 | ||
| We stated that if their data quality is sufficient, they wouldn’t need to send us orders manually, as the system could handle this automatically. – FoodCo | ||
| The suppliers when they receive replenishment forecasts and notice a deviation in forecasts, they contact us and ask what’s happening. Why do we see this change. - RetailCo1 | Synchronization of Volume and Delivery Schedules | |
| Suppliers need to be cautious about the quantities of products they produce, especially dairy suppliers, as these products have very short shelf lives. Careful production planning is essential to avoid waste, and improvements in this area have been observed … Sharing replenishment forecasts ensures that we receive products with better best-before dates. – RetailCo2 | ||
| Yes, compared to the old method, this approach improves both accuracy and efficiency, as well as helps maintain correct inventory levels. – RetailCo3 | ||
| We notice the bigger discrepancies and investigate the reason for difference in volumes or delivery times. We discuss it with retailers if the differences are large enough. – FoodCo | ||
| Most of the time, suppliers can cope with changes, like when there’s a sudden change in the type or flavor of a product, such as a Sandwich. However, the real pinch point often isn’t the raw materials or ingredients, it’s the packaging. Packaging needs to be printed, include allergen information and meet various requirements, which can take several weeks to produce. – Solution Provider | ||
| Ultimately, while differing perspectives may lead to arguments, the more accurate forecast will prevail. Suppliers providing more accurate sales forecasts cannot be ignored in the long run. – Solution Provider | ||
| Campaign orders occasionally confuse suppliers, as the discrepancies in quantities can be significant … Therefore, we use replenishment forecasts to update them beforehand. RetailCo2 | Proactive Exception Management | |
| We used to have lower availability when placing orders far in advance, so we have been working to address this issue … This new approach has yielded positive results, allowing us to significantly reduce advance ordering while maintaining a normal ordering rhythm and achieving good availability from suppliers. - RetailCo3 | ||
| Mainly, we use exception reports. We compare our forecasts (projected replenishments) with the retailers’ forecasts. We check for differences in delivery volumes, and if there are significant differences, we communicate with the retailers to confirm and align our plans accordingly. – FoodCo | ||
| This approach also allows for better handling of exceptions, such as changes in assortment, seasonal variations and shifts in order patterns. – Solution Provider | ||
| I think, in many cases, seeing is believing. Retail data sharing enhances trust and further collaboration. Of course, you need a certain level of trust to start sharing data, but once you see the value it brings, that belief reinforces and builds even stronger trust. – Solution Provider | Trust and Confidence in Relationship | Strategic Benefits |
| I do think that Data Sharing increases trust. – Solution Provider | ||
| Additionally, backward-looking validation is essential to check if the retailer’s order projections or replenishment proposals align with the actual orders they placed. – Solution Provider | ||
| We also use retail data for other purposes, like product development and assortment decisions. - FoodCo | Product Development | |
| Retailers have consumer behavior related data, which is extremely valuable for CPG companies, not only from a supply chain perspective but also from a marketing insights and new product development perspective. – Solution Provider | ||
| I think sustainability is always an interesting starting point for a conversation … Having the sustainability argument alongside is a positive because you know there’s obviously more and more emphasis placed on green reporting. – Solution Provider | Environmental Sustainability | |
| If more retailers share their data, and if the data are of high quality, it could foster a constructive dialogue. This, in turn, could enable improvements such as better product freshness, extended shelf life, reduced spoilage, and ultimately higher service levels. Everyone stands to benefit from reducing spoilage, both economically and environmentally. – Solution Provider |
| Interview quote | Aggregated dimension | SCM value |
|---|---|---|
| Yes, sharing replenishment forecasts has reduced my workload, although I still need to place preorders for events like Midsummer and Christmas … I would like to replace pre-orders through replenishment forecasts. – RetailCo1 | Automation of Routine Planning Processes | |
| The suppliers sometimes ask us questions about the products, but we always try to guide them to use our (information) portal and advise them to refer to the forecast available there. – Retail Co2 | Tactical and Operational Benefits | |
| It’s not feasible for us to hold meetings with all our suppliers whenever changes occur … We share our replenishment forecasts in advance, followed by order rates. If there’s a mistake or confusion, we address it through a meeting if necessary. – RetailCo3 | ||
| We stated that if their data quality is sufficient, they wouldn’t need to send us orders manually, as the system could handle this automatically. – FoodCo | ||
| The suppliers when they receive replenishment forecasts and notice a deviation in forecasts, they contact us and ask what’s happening. Why do we see this change. - RetailCo1 | Synchronization of Volume and Delivery Schedules | |
| Suppliers need to be cautious about the quantities of products they produce, especially dairy suppliers, as these products have very short shelf lives. Careful production planning is essential to avoid waste, and improvements in this area have been observed … Sharing replenishment forecasts ensures that we receive products with better best-before dates. – RetailCo2 | ||
| Yes, compared to the old method, this approach improves both accuracy and efficiency, as well as helps maintain correct inventory levels. – RetailCo3 | ||
| We notice the bigger discrepancies and investigate the reason for difference in volumes or delivery times. We discuss it with retailers if the differences are large enough. – FoodCo | ||
| Most of the time, suppliers can cope with changes, like when there’s a sudden change in the type or flavor of a product, such as a Sandwich. However, the real pinch point often isn’t the raw materials or ingredients, it’s the packaging. Packaging needs to be printed, include allergen information and meet various requirements, which can take several weeks to produce. – Solution Provider | ||
| Ultimately, while differing perspectives may lead to arguments, the more accurate forecast will prevail. Suppliers providing more accurate sales forecasts cannot be ignored in the long run. – Solution Provider | ||
| Campaign orders occasionally confuse suppliers, as the discrepancies in quantities can be significant … Therefore, we use replenishment forecasts to update them beforehand. RetailCo2 | Proactive Exception Management | |
| We used to have lower availability when placing orders far in advance, so we have been working to address this issue … This new approach has yielded positive results, allowing us to significantly reduce advance ordering while maintaining a normal ordering rhythm and achieving good availability from suppliers. - RetailCo3 | ||
| Mainly, we use exception reports. We compare our forecasts (projected replenishments) with the retailers’ forecasts. We check for differences in delivery volumes, and if there are significant differences, we communicate with the retailers to confirm and align our plans accordingly. – FoodCo | ||
| This approach also allows for better handling of exceptions, such as changes in assortment, seasonal variations and shifts in order patterns. – Solution Provider | ||
| I think, in many cases, seeing is believing. Retail data sharing enhances trust and further collaboration. Of course, you need a certain level of trust to start sharing data, but once you see the value it brings, that belief reinforces and builds even stronger trust. – Solution Provider | Trust and Confidence in Relationship | Strategic Benefits |
| I do think that Data Sharing increases trust. – Solution Provider | ||
| Additionally, backward-looking validation is essential to check if the retailer’s order projections or replenishment proposals align with the actual orders they placed. – Solution Provider | ||
| We also use retail data for other purposes, like product development and assortment decisions. - FoodCo | Product Development | |
| Retailers have consumer behavior related data, which is extremely valuable for CPG companies, not only from a supply chain perspective but also from a marketing insights and new product development perspective. – Solution Provider | ||
| I think sustainability is always an interesting starting point for a conversation … Having the sustainability argument alongside is a positive because you know there’s obviously more and more emphasis placed on green reporting. – Solution Provider | Environmental Sustainability | |
| If more retailers share their data, and if the data are of high quality, it could foster a constructive dialogue. This, in turn, could enable improvements such as better product freshness, extended shelf life, reduced spoilage, and ultimately higher service levels. Everyone stands to benefit from reducing spoilage, both economically and environmentally. – Solution Provider |
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