Factory2Shelf - Enabling Flowcasting and Collaboration in the Retail Supply Chain

Flowcasting: The Challenge and the Solution

>>> About Flowcasting

>>> Challenge

>>> Solution

>>> Proof of Concept

>>> The Book: Flowcasting the Retail Supply Chain

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About Flowcasting

Flowcasting is a new approach to managing the retail supply chain that seamlessly and fully connects all players – from the consumer in the store right back to the manufacturing plant. In retail supply chain planning today, people often think of DCs and manufacturing plants as “supply points” and retail stores as “demand points.” As a result, the stores are treated as independent and disconnected entities from the rest of the supply chain. With Flowcasting, retail stores are treated as the most important supply point between the factory and the consumer, with all plans – replenishment, operational and financial –connected in between. The benefits are:

	Increased sales due to reduced out-of-stocks at the stores
	Integration of promotion and end of season inventory requirements
	Elimination of excess safety stocks at all levels of the supply chain
	More efficient and effective collaboration between trading partners
	Operating cost reductions of 1% to 6% of sales volume
	Vast reduction in unnecessary forecasting for retailers and their suppliers

Because Flowcasting brings the retail store “into the fold” of integrated supply chain planning, many problems that have festered for years can finally be solved. Things like retail store out-of-stocks, end of season carryover inventory and costly product introductions are all symptoms of inadequate planning at store level. Flowcasting is the first approach to attack these problems at the source.

With Flowcasting, you forecast item demand one time, at store level based on consumer sales, and then to aggregate and calculate demand at all other levels throughout the supply chain.

Forecast once, calculate the rest.