Take the Guesswork out of Forecasting
Each action that occurs within a company produces data. With the right analysis, that data can be turned into valuable knowledge. More knowledge equals improved decision making. General Mills has decided to capitalize on this concept, utilizing mathematics to reduce forecast inaccuracy and transportation costs.
The company has chosen Terra Technology, one of the industry’s trusted providers of innovative supply chain solutions for consumer products companies. General Mills will be implementing Terra’s Demand Sensing and Transportation Forecasting software to improve short term weekly forecast accuracy and improve transportation planning.
Robert F. Byrne, president and CEO of Terra Technology, said, “Terra’s solutions improve forecasting and transportation planning by applying better math to daily supply chain information, including shipments, orders, point of sale (POS), and inventory held throughout the supply chain. By analyzing daily streams of data, the software provides a more accurate prediction of demand, decreasing inventory and improving transportation planning.”
Terra’s Demand Sensing software analyzes daily demand signals, applying advanced mathematics to downstream data and decreasing forecast error by up to 50 percent. More accurate forecasts means more accurate planning, lower inventory and manufacturing costs, and improved service levels. Since Terra’s Transportation Forecasting results in more accurate predictions, spot shipments are decreased and so are transportation costs.
General Mills is one of many prominent consumer packaged goods companies that use Terra Technology to reduce costs and increase accuracy, these include Procter & Gamble, Unilever, Kraft Foods, Kimberly-Clark, ConAgra Foods and Campbell Soup.
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