Reduction
Reduction
Reduction
Consumer
KPI Sales Theme
Product Success
Forecast Demand Error
Service Level
Days in
Quality
Inventory Barcoding
Efficient e-penetration Logistics
6 65% 55
7 9 9
8 35% 47 3 5 7
Half time scorecard
Team A
Score
பைடு நூலகம்20
Handling errors % time in possession Metres gained in possession No. of penalties awarded Missed tackles No. of scrum wins
Monthly
Quarterly
ePenetration Index
Monthly
Quarterly
Case study: Data integrity
% Error Free
100% 90% 80% 70% 60% 50% 40% 30%
Process/system improvement integrity Price data integrity
Measurement Frequency
Trading partner
Industry
Consumer sales growth (overall and by category)
New product success rate (overall and by category)
Forecast demand error (MAPE) (Monthly, 3 months in advance)
6 65%
55 7 9 9
Team B
12
8 35%
47 3 5 7
Effect measure
Causation measures
Project background
Project rationale:
The recognition of the
• general poor agreement and use of ECR-aligned KPIs within companies, between trading partners and across the food and grocery industry
progressed at the industry level
Many thanks to contributions received from ….
Mathew Foster Justin Golding Howard Evans Cameron Hall Daniel Kochanowicz Graham Correy Skip Tylman Peter Chalmers Simon Coates Stuart Macintosh
- Procter & Gamble - SC Johnson - Unilever Foods - Goodman Fielder - Woolworths Supermarkets - PricewaterhouseCoopers - Procter & Gamble - Coles Supermarkets - Franklins - Cerebos Gregg’s
70%
60%
Product group 2
50%
40%
30%
20%
Product group 1
10%
Target achieved
0%
1
2
3
4
5
6
7
8
9
10
11
12
Elapsed months
The way forward
The following actions are now required to take the recommendations forward
Data Integrity
KPI framework - Future
Domain
Demand Management Supply Management Enabling Technology
Driver
Growth Cost/Inventory Reliability Cost/Inventory Capability Cost/Inventory
Many thanks to contributions received from ….
Ken Milhinch Jonathon Moss Matthew Bennett Tony Thorpe Jim Flannery NZ GMA members Paul Middleton Colin Powell
A guide to demand forecasting within the grocery industry
Development approach
The KPIs have been developed in consultation with a wide range of industry stakeholders • consultation by project team within own organisations • open industry disclosure • consultation with New Zealand GMA member companies • liaison with Global ECR Scorecarding team • individual meetings with industry representatives to ensure
ECR KPI development
Presentation of project deliverables
Highlands 8 April 2000
Half time - Scorecard review
Scorecard
Handling errors % possession Metres gained # penalties awarded Missed tackles # scrum wins
Reduction
Reduction
Reduction
KPI Theme
Consumer Satisfaction
Forecast Retail Demand OOS Error
Profitability Analysis
Proposed KPIs - Now
Demand Management
KPI
Measurement Frequency
Trading partner
Industry
Service level - vendor to DC - DC to store - vendor to store
Weekly Weekly Weekly
Monthly Monthly Monthly
Days in inventory - store - DC - vendor
KPI
Measurement Frequency
Trading partner
Industry
Quality barcoding (carton)
Monthly
Quarterly
Quality barcoding (pallet)
Monthly
Quarterly
Data integrity rate (transmitted/received)
Project objectives:
Establish and agree common set of action orientated, operational KPIs which
• focus upon aligning performance with ECR objectives between trading partners
Physical data integrity
Target achieved
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Elapsed months
Case study: Quality barcoding
% Quality Barcoding
100%
90%
80%
System integrity
Forecast demand error (Weekly, 1 month in advance)
Monthly Monthly Monthly Monthly
Quarterly Quarterly Quarterly -
Proposed KPIs - Now
Supply Management
KPI
KPI framework - Now
Domain
Demand Management Supply Management Enabling Technology
Driver
Growth Cost/Inventory Reliability Cost/Inventory Capability Cost/Inventory
• seek endorsement and sign-off by ECR Australasia • nurture awareness and understanding of KPIs at individual