P&G Selects Terra Multi-Enterprise Demand Sensing Solution

Terra Technology, a provider of demand sensing and inventory optimisation solutions for consumer products companies, has announced that The Procter & Gamble Company has selected Terra's Multi-Enterprise Demand Sensing (MDS) solution to further improve forecast accuracy and demand visibility. In a recent model, the software reduced forecast error by more than 50 percent in certain categories for forecasts three weeks out or less.

Dick Clark, associate director, demand planning for Procter & Gamble, said, "Procter & Gamble selected Terra Technology's Multi-Enterprise Demand Sensing to analyse the tremendous amount of daily demand information available from key retailers and create a single, more accurate forecast. MDS analyses PoS, channel inventory and retailer forecasts to determine what information is relevant and creates a significantly more accurate forecast for P&G."

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Robert F Byrne, president and CEO of Terra Technology, said, "Procter & Gamble continues to adopt new technologies to improve both efficiency and service to retailers and consumers. By implementing Multi-Enterprise Demand Sensing, P&G will significantly improve short-term forecast accuracy."

Multi-Enterprise Demand Sensing reconciles daily demand signals from all echelons in the supply chain including Point-of-Sale data, retailer warehouse and outlet inventory, and retailer forecasts. MDS uses pattern recognition mathematics to decipher which information is predictive. Procter & Gamble modeled the software in several businesses.