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Bridge the Gap: How Fragmented Planning Horizons Undermine CPG Supply Chains


Consumer Packaged Goods CPG Supply Chains

In an era when CPG manufacturers face the threat of disintermediation by big retailers, restoring power to the brand can involve going direct to the consumer via premium outlets, factory stores, ecommerce/omni-channel selling, and even new “store-within-a-store” models. Consumer products companies often operate similarly to “fashion-orientated” businesses, as when cell phone and electronics makers experience high turnover in styles, colors, and assortments.

With product variants proliferating and more direct access to the consumer, CPG supply chain teams must maneuver astutely around seasons, assortments, and retail demand signals spanning multiple planning horizons. Coordinated planning across the short, medium and long-term horizons is absolutely crucial to profitability and competitiveness.

Even under the best circumstances, huge sales and margin impacts hinge on the “bets” planners place on products and materials two, three, or more seasons into the future. Once those bets are placed, the ability to respond adroitly to changes in retail demand and other factors can literally mean the difference between profit and loss.

Can supply chain organizations achieve seamless planning, and leave behind a seemingly hopeless, fragmented process? It’s time to adopt a phased planning solution that provides better answers faster, and sparks smarter business decisions over the long term.


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