Building the Data Driven Supply Chain. EyeOn inspiration event Antwerp February 21 st, 2019

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2 Building the Data Driven Supply Chain EyeOn inspiration event Antwerp February 21 st, 2019

3 Welcome! 3

4 Building the data driven supply chain Welcome & lunch Introduction Transition to the data driven supply chain Michiel Jansen, Data Science lead at EyeOn Break Marketplace with innovative data science applications in the field of forecasting, inventory & supply management 1. Forecast value add Koen Koolen, Forecast & Data Science Consultant at EyeOn 2. Supply chain optimization using apps Francesco Russo, Data Science & Solutions Consultant at EyeOn 3. Production wheel Arthur Nazarian, Data Science & Solutions Consultant at EyeOn Interactive session How digitalization will change your company Freek Aertsen, Partner at EyeOn Erik de Vos, Senior Consultant at EyeOn Closure and drinks 4

5 EyeOn Years Ahead in Planning & Forecasting Consultancy & Implementation Data Science & Solutions Forecast Services Develop & implement tailored planning processes that really work Improve processes, tools & capabilities Advance forecasting & planning specialists in their career Turn data into insights and business value add Develop & implement analytical models for decision support Implement fast, innovative and scalable planning solutions Deliver forecast, inventory optimization and analytics services with state of the art models 5

6 EyeOn DS 2 Data Science & Solutions Dedicated team of experts in forecasting techniques, data science & planning solutions Innovative supply chain planning solutions Forecasting & supply chain planning processes & tooling Advanced analytics, based on big data Visualization & story telling Continuous innovation Knowledge partnerships Innovation labs Latest technologies Cloud based planning solutions Big data analytics Supply chain simulation & optimization Data storage 6

7 Forecast Services Business Process Outsourcing service accelerate your business benefits, while growing planning capability at own pace Services offered: Statistical baseline forecasting Promotion forecasting New product forecasting Advanced inventory optimization Analytics on demand see 7

8 EyeOn Many different nationalities, one team! 500+ years of combined experience 12 nationalities Consultants with different backgrounds: SCM, finance, sales & marketing, data science 89 companies where projects were delivered in countries where we operated in 2018

9 How data driven are supply chains data today? 9

10 Example FMCG Demand Planning benchmark shows limited use of additional data sources! * Usage of data sources (1-10 scale) Macro economic indicators Other Webscraping Google search behaviour data Facebook data Historical promotion information Weather forecasts Promotional activities of customers Price development of our and competitor products over time Consumer review data from the web Point of sales - stock in trade Point of sales - sell out Order data * Source : EyeOn Demand Planning Benchmark

11 But there is a shift in supply chain thinking* Traditional Digital Project definition Large projects with known outcomes Small projects that evolve Funding Licensed deployments Cloud deployments Type of data Structured transactional data Unstructured and structured data Data characteristics Data with low velocity Data with high velocity Leadership Led by IT Led by the business Process focus Inside-out Outside-in Capabilities Better response Test and learn Technologies Large, established vendors Small and evolving technology sources 11 * Supply Chain Insights LLC Copyright 2015

12 Next steps?

13 Building the data driven supply chain Welcome & lunch Introduction Transition to the data driven supply chain Michiel Jansen, Data Science lead at EyeOn Break Marketplace with innovative data science applications in the field of forecasting, inventory & supply management 1. Forecast value add Koen Koolen, Forecast & Data Science Consultant at EyeOn 2. Supply chain optimization using apps Francesco Russo, Data Science & Solutions Consultant at EyeOn 3. Production wheel Arthur Nazarian, Data Science & Solutions Consultant at EyeOn Interactive session How digitalization will change your company Freek Aertsen, Partner at EyeOn Erik de Vos, Senior Consultant at EyeOn Closure and drinks 13

14 Building the data driven supply chain Welcome & lunch Introduction Transition to the data driven supply chain Michiel Jansen, Data Science lead at EyeOn Break Marketplace with innovative data science applications in the field of forecasting, inventory & supply management 1. Forecast value add Koen Koolen, Forecast & Data Science Consultant at EyeOn 2. Supply chain optimization using apps Francesco Russo, Data Science & Solutions Consultant at EyeOn 3. Production wheel Arthur Nazarian, Data Science & Solutions Consultant at EyeOn Interactive session How digitalization will change your company Freek Aertsen, Partner at EyeOn Erik de Vos, Senior Consultant at EyeOn Closure and drinks 14

15 Marketplace Forecast value add Production wheel Vancouver 1 Hamburg Supply Chain optimization using apps 14:45 15:00 Round 1 15:05 15:20 Round 2 15:25 15:40 Round 3 15 Vancouver 2

16 Building the data driven supply chain Welcome & lunch Introduction Transition to the data driven supply chain Michiel Jansen, Data Science lead at EyeOn Break Marketplace with innovative data science applications in the field of forecasting, inventory & supply management 1. Forecast value add Koen Koolen, Forecast & Data Science Consultant at EyeOn 2. Supply chain optimization using apps Francesco Russo, Data Science & Solutions Consultant at EyeOn 3. Production wheel Arthur Nazarian, Data Science & Solutions Consultant at EyeOn Interactive session How digitalization will change your company Freek Aertsen, Partner at EyeOn Erik de Vos, Senior Consultant at EyeOn Closure and drinks 16

17 How to make it work? 1. Ask the right questions for your business! 2. Start collecting and storing data as of tomorrow 3. Build strong analytical skills often centrally organized 4. Embed analytics in business processes & collaborate with all relevant stakeholders Develop fact-based collaboration & communication planner as orchestrator

18 Pack with real life data applications will be added to the event summary for your inspiration! Want to learn more? Get in touch with your EyeOn contact

19 Calendar upcoming EyeOn events Date Event Location Industry May 16 th No touch S&OP BNL Breda, NL All May 21 th MDR event BNL Antwerp, BE Medical devices June 6 th Demand management round table BNL Aarle-Rixtel, NL Consumer Products June 18 th APS round table BNL Aarle-Rixtel, NL Consumer Products and Life Science September Smart planning solutions Jedox Webinar All September 7 th Fun! Cycling, is the new Golfing edition 3 Oudenaarde, BE All November 14 th Planning Inspiration Day The Netherlands All

20 Calendar upcoming Industry events Transforming Chemical Supply Chains - March Krasnapolsky Hotel Amsterdam Supply Chain Innovation - March 21 - Antwerp Expo April Music & Convention Center Montreux Digitalised, collaborative, customer-centric SC Congress - May 8-9 Wicked Grounds Amsterdam IBP Summit May Hilton Barcelona

21 Evaluation Please give us your thoughts about today s event so we can improve! Open your phone s camera app and point it to the QR code for a few seconds -- or -- Follow the link below in your browser

22 22 Q&A

23 EyeOn EyeOn bv Croylaan PC Aarle-Rixtel The Netherlands T mail@eyeon.nl eyeon.nl EyeOn Amsterdam Herengracht BT Amsterdam The Netherlands T mail@eyeon.nl eyeon.nl EyeOn Belgium BVBA De Keyserlei B19 B-2018 Antwerp Belgium T +32 (0) mail@eyeon.eu eyeon.eu EyeOn Solutions Croylaan PC Aarle-Rixtel The Netherlands T mail@eyeon.nl solutions.eyeon.nl EyeOn Forecast Services Croylaan PC Aarle-Rixtel The Netherlands T mail@eyeon.nl forecastservices.com EyeOn Switzerland Quai de l Ile 13 CH-1204 Geneva Switzerland Tel.: +41 (0) mail@eyeon.eu eyeon.nl

24 Today s world February 2019

25 Portfolio more complex than ever

26 Volatile customer demand

27 Growing pressure on price & margins

28 War on talent

29 30 Changing regulatory environment

30 Rapidly changing IT & Technology landscape

31 Realize predictive business in a volatile market Sense Plan Shape Orchestrate

32 HOW?

33 "The important thing is not to stop questioning. Curiosity has its own reason for existing."

34 Store that data!

35 Build skills and enjoy! Make the change

36 37 Collaborate

37 Agile Fast response 38Response fast, just start!

38 Real life cases February 2019

39 Data sharing in the cloud to control supply chains from head to tail From a need for a data sharing tool to a cloud-based design to create insights for business Tool solution Cloud as chain enabler Cloud solution with following functionalities: Web portal with write access to cloud database Cloud database connected online reporting environment Scheduled automated data refresh User-based view permissions Alerts before issues arise Information sharing in value chain Change the storytelling game!

40 Extract the real business driver signals and use them in planning! Analyse drivers and forecast value add Use different signals: - Baseline - Promotions - Product introductions & phase out s - Seasonality Decompose the signal Look at process timings Balance models & business intelligence Modelling as starting point Process designed around who knows better

41 Market driver based forecasting Market Driver Based Forecasting use leading indicators to model the impact to demand Driver Based Forecasting Regression Models use explanatory variables to forecast another variable, e.g. future demand Advantages: Insight into relations & dependencies Allows what-if scenario s Can exploit leading indicators Quantifies Market Experience Application in planning Create a reliable long term forecast at aggregated level in an volatile market environment

42 Reveal the drivers behind promotional sales to enable a more accurate promotion forecast and a better marketing mix Promo forecasting using regression requires a selection in suitable forecasting parameters LASSO offers a balancing act Too few parameters results in lack of granularity and very rough results Too many parameters results in overfitting: the model follows the history too well to predict the future Application in planning Select parameters with the most influence on sales during a promotion. Examples: Display type in the store Price mechanism of the promo Relation to holiday (X-mas, Easter) Revenue management Shape demand and get the actuals right!

43 From reactive planning to pro-active demand shaping via demand sensing Integral visibility and combining different data sources Freely available data Point of Sale data Fast launch analysis OBJECTIVE Shaping of demand Distribution adjustment Promo adjustment Sensing Web scraping methods Sensing sentiments Ratings and reviews Internal analysis collaboration Analysis to prepare scenario Combining data sources Business decision Shape demand Optimize margin

44 Organise who should do what? Design the different roles, the man of all crafts doesn t exist Architect Data engineer Connecting data sources Data governance Quality and control role Data scientist Business analyst Advanced Within teams analytics, mathematics, machine learning Data fishing expeditions Curios and very analytical role supporting reporting needs, should be Visualization proficient Combine IT, analytics and domain knowledge. Functional reporting into data value team Build a data driven culture Focus on relevant adjustments only Different skills Analytical skills and conceptual thinking, experience with structured problem solving Managing large data sets VS Challenge numbers at different aggregation levels Business / market knowledge Communication skills

45 Want to learn more? Visit us at or Effective process design Planning excellence Accelerated improvement White Papers Masterclasses Benchmark Forecast scan Inventory Management scan 54