Demand Analytics within Oracle, What are my options ??

The need to have access to demand data to capture insights, analyse and respond quickly and appropriately has been around for long in CPG market. The economic turmoil across the globe has added to complexity of projecting demand for CPG goods. Consumers today are spending less and wanting more and better return on their spend dollars. Social media has gone to a new high of usage and is playing a bigger role in consumer's decision making for selecting products. Amount of data present in various forms in various systems is absolutely humongous in size and scale.

Imagine a world where any data which can convey a story about market demand is available for analysis. Though getting every data out there into a system may not be do-able for every business, but atleast having access to key data streams which are classified as indicator for demand can itself be a big step forward. Some of the well known demand indicative elements are POS, Store inventory, Syndicated data, Consumer sentiment captured from big data, etc.

A business intelligence(BI) initiative to capture all such data to gain valuable insight of market/consumers has become critical for CPG companies. Like any BI initiative, few things to keep in mind while embarking a BI project journey are:

• Never forget that business goal is to gain insights by implementing BI 
• Thus ensure that these "insights" are identified upfront

We are seeing quite few companies are using Demantra as backbone for forecasting and S&OP process. These companies wish to use data lying in Demantra and S&OP in Oracle BI application for achieving a common reporting center, calling it often Demand Analytics. Building a Demand Analytics layer in your enterprise can help planners, managers and Chief's of company in various ways. Demand Analytics can quickly provide answer to questions like:

• Which are my most profitable brands?
• Which customers are giving me most business?
• How is my newly launched product doing in stores?
• Where am I running into Out of Stocks and for which products?
• etc..

Oracle BI apps are already being offered in various areas of business like Mfg Analytics, EAM Analytics, SCOM Analytics etc. For Advanced planning business users community(demand planners, supply planners, demand manager, supply managers, operations manager, S&OP planners and managers, COO, CIO, CFOs etc), Oracle has provided Advanced Planning Command Center and Oracle Demand Signal Repository as two key solutions for planning analytics space.

Oracle DSR: Oracle DSR is more focused towards capturing various demand signals/data from external and internal sources, cleansing and harmonizing it all to report in a BI presentation layer for easy reporting for business. Demand signal repository thus acts as a central warehouse for all demand related information providing business value gained from the insight of demand data in DSR. Also with data elements from DSR integrated to downstream applications like Demantra Demand Management, Demantra Consumer Driven Planning(future release), Demantra PTP, Agile PLM etc, there is richer value which downstream applications and users can realize.

(Read more @ http://www.oracle.com/us/products/applications/ebusiness/planning/053299.html)

Oracle APCC: Advanced Planning Command Center module provides a robust BI analytic layer over Oracle's Value Chain Planning modules, specially ASCP and Demantra. Latest version of APCC allows supply planners to almost do all their day to day ASCP work using simple and better APCC user interface. Additionally APCC allows publishing Demantra DM data as demand plan with option to publish 15 custom forecast&history measures and custom hierarchy into APCC. APCC also support S&OP and IBP processes using demand, supply and financial information from Demantra, SNO and ASCP modules. This module though is more manufacturer's internal operations and planning process centered.

(Read more @ http://www.oracle.com/us/products/applications/ebusiness/planning/053296.html)

A third option which we see clients considering is building a custom VCP Analytic solution using Oracle BI as platform with feeds coming from ASCP, Demantra and other planning applications. This option though is found more common among clients who find Gaps in std APCC offering due of variety of custom sources they may have. If there is lot of ETL work required for feeding APCC with required data from 3rd party sources then considering this 3rd option may become a better choice. Also for clients who already have a strong BI solution footprint are seen to prefer building additional metrics and subject areas on existing analytic solution.

(Read more about OBIEE offering @ http://www.oracle.com/us/solutions/ent-performance-bi/enterprise-edition-066546.html)

Trends for 2013: 'Big Data' Gets Bigger - eMarketer

"Big Data" brings great insights.. turning these insights into actionable items can lead to significant benefits for retail and CPG firms.

Emarketer.com captures the current and future probable state of Big Data in their recent article. Click on the link below to read the complete article.

Trends for 2013: 'Big Data' Gets Bigger - eMarketer

Fueling supply chain with retailer's POS data - Oracle DSR

When recession hit the market, the impact on CPG industry was inevitable. With customers trying to save every penny possible, the competition in market for providing best quality product at minimal price possible has surpassed all previous levels. Everyone is trying to get the most of every dollar they spend. Few most common CPG industry specific issues can be easily listed as:

• Lost sales due to out of stock conditions
• High inventory carrying cost due of misplaced stocking
• Promotion expenses going in vain
• Loss of margins due of expedition costs
• Increasing IT Complexity

Circumstances like this call for nothing but best in class, efficient and optimized business processes which are driven by one and only goal, increasing the profitable revenue making.

The road to accomplish this target is anything but smooth, need is to ensure that the supply chain backbone transforms into an efficient value chain. The value shall be visible and transparent to every stakeholder, be it an internal department(e.g. sales, marketing, operations) or an external vendor. With growing capabilities at retailer's end to capture demand at the point of it's origin, need is to build processes to capture this demand data and utilize it to drive the supply chain. Problem in gathering and utilizing this information is variety of retailer's POS capturing systems, standards and granularity.

One of the AMR Research paper clearly outlines this fact by saying "The Bottom Line: Consumer products manufacturers must centrally manage all demand signal data, including POS, to create a Demand-Driven Supply Network (DDSN) that improves demand visibility to reduce stockouts by more than half and increase Perfect Order performance by 17%"

While in today's generation of supply chain, availability of data is lowest of concerns, problem is with managing this high volume and ensuring the accurate required information is made available to upstream for planning. With variety of sources of POS data, the need to capture and cleanse it prior to it's availability for being used in planning is of high importance.

Oracle's Demand Signal Repository product has shown thought leadership in this direction, by providing a collaborative demand signal management platform with best of breed functionality and reporting capabilities.

Oracle's DSR datasheet points out it's three key capabilities:

• Capture and manage large volumes of disparate external demand data
• Analyze, report and take action based on Day/SKU/Store level insights
• Integrate clean, harmonized demand data to external applications

DSR empowers you to:

• Greater visibility of data to better sense, shape and respond to demand
• Reduce manual effort and cost
• Simplify collaboration across teams and applications.

(Read more about DSR@ http://www.oracle.com/ocom/groups/public/@ocompublic/documents/webcontent/018927.pdf