The On-Going Battle over CPFR

from scdigest.com

It’s hard to think of any area of supply chain management that causes more debate than Collaborative Planning, Forecasting, and Replenishment (CPFR).

The CPFR process was originally developed in 1996 as a pilot program between Wal-Mart and the former Warner-Lambert (now part of Pfizer) aimed at doing a better job of keeping Listerine mouthwash on store shelves. It worked – Warner-Lambert’s in-stock averages rose from 87% to 98%, lead times dropped from 21 to 11 days, and sales increased $8.5 million over the test period, performed in a limited geographic region of Wal-Mart DCs/stores.

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