Logility Inc., supplier of collaborative solutions to optimise the supply chain, has announced the availability of Logility Voyager Solutions Proportional Profile Planning, software that simplifies SKU-level planning for products where traditional demand planning techniques are ineffective. These challenges may exist when the SKU count is too large for individual interaction with each one, where the unique configurations of items have sporadic demand yet the family level plan is very predictable or when the final product specifications are not defined when a sourcing commitment must be made. Voyager Proportional Profile Planning simplifies the complex process of forecasting future demand for each product by modeling the historical patterns of items with similar attributes. Planners are now able to gain visibility of a more accurate supply, sourcing and production plan earlier in the product life cycle, quickly adjust product assortments based on the stage of a product life cycle, selling season or replenishment period, and reduce the noise in the end-to-end supply chain planning process to connect the high-level demand plan to the detailed sourcing and production plan.
Product attributes include a wide variety of characteristics such as finish, style, color, size, gender, region, speed, power, material type, trim level, and configuration. The complexity inherent in projecting demand calculations down through these multiple layers of product attributes has prevented many companies from disaggregating higher-level demand plans down to specific go-to-market plans. Some companies have attempted to solve this problem by developing offline spreadsheets, a lengthy and error-prone process where SKUs can easily number in the thousands or hundreds of thousands.
Forecast at Aggregate Level, Source at Granular Level
Logility Voyager Solutions Proportional Profile Planning allows planners to work at a level of aggregation that is predictable and matched to their business requirements and then use product attributes such as color, size, finish, style, gender, region, speed, power, material type, trim level, and configuration to spread the forecast across lower levels of aggregation. Profiles can be defined as templates based on similar attributes early in the product development cycle to enable supply planning decisions even before marketing plans are final or component orders have been sourced.
Typically, organizations have difficulty measuring forecast accuracy on a set of attributes. Without this valuable feedback, future plans cannot benefit from real-world marketplace experience. Many industries have thousands of profiles and size curves to manage, which limits their visibility and consumes their valuable time. Voyager Proportional Profile Planning is highly suited to products that have three or more unique attributes and face complex, multi-tier disaggregation such as apparel, footwear, and durable goods manufacturers and retailers.
"The ability to forecast with more precision at the attribute level is a source of great competitive differentiation for our customers," said Mike Edenfield, president and CEO, Logility. "Voyager Proportional Profile Planning has been developed in cooperation with our customers and solves a pressing challenge many companies face today. Through this industry-first, we are helping companies free up resources, plan more accurately, reduce inventory and working capital, improve customer service, and gain a real competitive advantage."
Recognised industry-wide for its rapid implementation, quick ROI and ease-of-use, Logility Voyager Solutions is a comprehensive supply chain management solution suite which features performance monitoring capabilities to increase supply chain visibility and operational efficiency in key areas including demand, inventory and replenishment planning, sales and operations planning (S&OP), manufacturing planning and scheduling, supply and inventory optimisation, transportation planning and management, and warehouse management.