Forecasting demand for specialty chemicals is difficult, yet at the same time critical to planning the inventory that drives the high service levels and consistent performance that retail customers demand. In addition, industrial customers have large, erratic consumption patterns, and expect stock to be available whenever they need it either on your site or at theirs. Production constraints, whether batch or continuous, complicate the process.
But our specialty chemical customers are reliably achieving sustainable fill rates as high as 99%, typically with 20% less global inventory. Demand modeling incorporates internal and external elements such as: market trends, seasonal demand profiles, and promotion forecasting. Demand collaboration brings together demand and forecast data from multiple sources in a web-based consensus platform. Improved demand sensing generates more robust and reliable forecasts. Promotion planning, forecasting and monitoring is also improved.
Inventory optimization and replenishment delivers high customer service levels, even across multi-echelon networks. It also addresses Vendor Managed Inventory (VMI), transportation constraints such as minimum shipment order quantities, rough cut capacity planning constraints such as run length and batch size. S&OP bridges a critical modeling gap to reliably connect tactical planning to operational execution.