Downstream Data

Loyalty data, syndicated data, point-of-sale (POS) data, household data, shipmentdata...overwhelmed? You're not alone. On May 16, 2007, CGT'sDownstream Data Share Group met in Chicago to talk about how to make senseand redefine the use of demand signals.

For the first presentation of the day, Clarkston ConsultingPartner John Rossi validated share group member concernsaround downstream data when he identified commonindustry pain points, including heterogeneous systemsand landscapes and siloed applications, misaligned masterdata and poor connectivity to trading partners.

In an effort to lift the cloud overhead, Rossi equippedshare group members with a downstream data model,which focuses on the importance of using accurate granulardata -- including shipment information, syndicateddata, POS data, loyalty data, household information andshopper/chooser data -- to gain consumer insights. POSdata can be a particularly powerful enabler for demandplanning, however, most companies in attendance admittedthat they are not paying for granular POS data.

Rossi also shared a high-level roadmap with the executives in attendance,suggesting they try it with their top two or three customers and best performingSKUs, but warned that while technology will make that journey easier,it is not the sole answer and companies should notwait for new applications.

Then, Kevin Fitzgerald, associate director of SupplyChain Development for Kraft Foods Inc., took the stagewith an encouraging presentation about the KraftIntegrated Demand Signal (KIDS) project, which isfocused on securing timely "quality" item, store level,daily data for use with Kraft applications. Currently, Kraftis in pilot mode to establish various processes to improveshelf availability.

What is most critical to Kraft's success is the customer'sdesire and organizational structure to apply insights providedby Kraft, which doubles as a topic of concern amongthe companies in attendance. Fitzerald provided helpfulhints on how to present your company's insights asinvaluable to retail partners. CG