Case Study: Procter & Gamble achieves reduced inventory, higher efficiency and improved forecast accuracy with e2open Demand Sensing

Procter & Gamble implements Terra’s short-term Demand Sensing

Procter & Gamble, the multinational consumer‑goods company behind brands like Pampers, Gillette and Pantene, faced a persistent challenge: accurately revising short‑term forecasts daily across thousands of SKUs and markets. Routine 24‑month planning couldn’t meet the rapid response needs of supply and manufacturing teams, so P&G launched the Intelligent Daily Forecasting (IDF) project and teamed with Terra Technology to pilot Demand Sensing (DS).

Terra’s DS—using SAP APO as a baseline and daily shipments/open‑order data to generate an automated six‑week forecast each evening—removed manual overwrites and fed DRP systems rapidly. The result: forecast accuracy improved by ~32% in Western Europe and ~40% in North America, safety stock fell about 10%, express orders and firefighting dropped, service levels were maintained, and the approach is being rolled out globally (with Multi‑Enterprise Demand Sensing added to incorporate POS and retailer data).

Procter & Gamble

Nils Muelller

Section Manager GBS Supply Network Solutions.