Building Outside-In Processes for Supply Chain Planning

This report details the outcomes of the Spark Initiative, which focuses on an outside-in approach to supply chain planning. Launched in November 2022, the initiative involved collaboration among supply chain experts and industry leaders, including key OMP customers like Dow and Nestlé. The report outlines the objectives of the initiative, which aimed to validate key concepts of outside-in planning through real-life test cases. Two significant test cases were conducted: one with Nestlé, focusing on improving forecast accuracy for new product introductions, and another with General Mills, aimed at reducing raw material volatility. The findings indicate that leveraging point-of-sale data can enhance demand forecasting and cross-departmental collaboration. The report emphasizes the necessity of adapting planning processes to address the increasing disruptions in supply chains and advocates for a unified view of business driven by demand. It concludes with insights on the challenges and future directions for implementing outside-in planning principles.