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Part - X

• Increased Customer Satisfaction

  • With fewer out-of-stocks resulting from better planning information, higher store service levels will prevail, offering greater consumer satisfaction.

6. Measuring Problems

Measuring CPFR is not so easy. It is measured keeping in mind different environmental aspects. Some of the measure difficulties are: -

• Lack of trading partner interest or inability to provide measurement data.

• Difficulty in detecting CPFR's impact with so many other influencing factors on the business.

• Changing and evolving expectations and focus.

7. Future Scope

As one contemplates the future of Collaborative Planning, Forecasting and Replenishment (CPFR), several trends are emerging: -

• Companies are accelerating their collaborative relationships - whether CPFR, Just-in-Time, ECR, CMI, or many other initiatives - companies are getting on board.

• Companies are finding new and innovative ways to collaborate. For example, Procter and Gamble has implemented CPFR not only with some of its retail customers, but also with its suppliers, and even inside the company, between functions and divisions.

There are many parts of the supply chain and related enterprise activities, which are not covered by CPFR. These include the following: -

• Demand management - including collaborative merchandising, category management, promotional planning and even collaborative space management (in the stores and the distributing centers). On the manufacturer side, collaborative product design and new product introductions are already taking place in leading companies.

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* Contributed by -
Deepak Bisht & Nilesh Dewangan,
Students of PGDIE,
NITIE, Mumbai.