Supply Chain Shortages: Predict and Act

Know the likelihood of supply shortages. Use real-time data, artificial intelligence (AI) and lead-time variances to improve service.

The Future of Supply Assurance Is Here

Just as demand sensing uses real-time data and AI to predict what a customer is most likely to order, e2open’s Supply Sensing application leverages real-time signals, AI and market volatilities to predict the likelihood of service risk over time.

Mitigate risk, improve service levels and lower inventory costs:

  • Understand the Risk of Shortages
    Real-time data and predictive analytics provide visibility into potential inventory shortfalls during specific periods.

  • Triage Shortages for Optimal Outcomes
    After you prioritize any shortages, prescriptive analytics give you options such as selecting alternate suppliers, adding manufacturing runs and changing production volumes.

  • Safeguard Service Levels
    The ability to monitor the current service risk at any level of aggregation based on the state of demand and supply helps you keep customers happy.

  • Balance Inventory and Service Risk
    You can review tradeoffs for the current service risk versus the cost of inventory at any stage to help maximize profits—even during a holiday season.

  • Resolve the Most Pressing Risks
    By identifying and responding to only the most critical near-term service risks, you save time, maintain customer loyalty and minimize the cost of expedites.

  • Mitigate Risk from End to End
    Assuring supply helps you mitigate risk across all tiers of all ecosystems, including internal operations, upstream contract manufacturers and downstream distribution partners.

Mitigate risk, improve service levels and lower inventory costs:

  • Balance Inventory and Service Risk
    You can review tradeoffs for the current service risk versus the cost of inventory at any stage to help maximize profits—even during a holiday season.

  • Resolve the Most Pressing Risks
    By identifying and responding to only the most critical near-term service risks, you save time, maintain customer loyalty and minimize the cost of expedites.

  • Mitigate Risk from End to End
    Assuring supply helps you mitigate risk across all tiers of all ecosystems, including internal operations, upstream contract manufacturers and downstream distribution partners.

  • Understand the Risk of Shortages
    Real-time data and predictive analytics provide visibility into potential inventory shortfalls during specific periods.

  • Triage Shortages for Optimal Outcomes
    After you prioritize any shortages, prescriptive analytics give you options such as selecting alternate suppliers, adding manufacturing runs and changing production volumes.

  • Safeguard Service Levels
    The ability to monitor the current service risk at any level of aggregation based on the state of demand and supply helps you keep customers happy.

Supply Sensing image

Probabilistic Planning for an Increasingly Uncertain World

Supply assurance has been in greater jeopardy than in recent years for companies involved in producing or distributing physical goods in the United States and other countries. In volatile supply chains with container delays, congestion at the ports, higher prices and labor shortages—including the shortage of truck drivers—nothing is certain. Questions like “Will I have enough stock to keep production running each day?” have no clear answers.

Hundreds of variabilities compound across each supply chain node. For both domestic production and outsourced, simple calculations to compare stock on hand and receipts with demand are impossible. Complicated probabilities combine what’s happening in the supply chain with fluctuating demand, supply and transportation lead times, making component and product shortages likely but unpredictable. This leaves firms at risk of short supply and service gaps at every stage for all consumer goods, from raw materials to end customers and from toilet paper and computer chips to grocery store items. The effects extend across internal operations and outsourced manufacturing and distribution.

E2open’s Supply Sensing software enables you to determine the probability of material shortages and service shortfalls over time for your entire global supply chain—and recommends actions to mitigate these risks. This unique approach uses AI to analyze real-time signals reflecting what’s happening in your supply chain right now—such as purchase order activity, forecasts, replenishments and changing inventory levels at every tier—combined with variabilities in supply, demand and transportation. Early visibility and awareness of the service risk at various time horizons help your company proactively mitigate risk, assure supply continuity and avoid financial penalties.

Probabilistic Planning for an Increasingly Uncertain World

Supply assurance has been in greater jeopardy than in recent years for companies involved in producing or distributing physical goods in the United States and other countries. In volatile supply chains with container delays, congestion at the ports, higher prices and labor shortages—including the shortage of truck drivers—nothing is certain. Questions like “Will I have enough stock to keep production running each day?” have no clear answers.

Hundreds of variabilities compound across each supply chain node. For both domestic production and outsourced, simple calculations to compare stock on hand and receipts with demand are impossible. Complicated probabilities combine what’s happening in the supply chain with fluctuating demand, supply and transportation lead times, making component and product shortages likely but unpredictable. This leaves firms at risk of short supply and service gaps at every stage for all consumer goods, from raw materials to end customers and from toilet paper and computer chips to grocery store items. The effects extend across internal operations and outsourced manufacturing and distribution.

E2open’s Supply Sensing software enables you to determine the probability of material shortages and service shortfalls over time for your entire global supply chain—and recommends actions to mitigate these risks. This unique approach uses AI to analyze real-time signals reflecting what’s happening in your supply chain right now—such as purchase order activity, forecasts, replenishments and changing inventory levels at every tier—combined with variabilities in supply, demand and transportation. Early visibility and awareness of the service risk at various time horizons help your company proactively mitigate risk, assure supply continuity and avoid financial penalties.

Better Together: Plan Holistically to Meet Business Needs

Plan with confidence and solve business problems by combining two or more applications. Built-in integration gives you the right capabilities to meet your objectives—quickly.

Leverage real-time data, automation and machine learning algorithms to accurately predict what customers will order. Adding applications from e2open’s Demand Sensing suite to e2open Supply Sensing gives you the most accurate predictions of demand and supply to drive the best business results every time.

Gain a new level of supply and demand planning accuracy for any and all time horizons to optimize performance, whether you’re responding to short-term supply chain disruptions or meeting long-term planning and financial goals. Adding other applications from e2open’s Business Planning suite gives you the planning breadth to meet your immediate needs and the depth to grow—all the way through digital transformation.

Business Scenarios

What are your business needs today?

Reach strategic goals and address complex business problems with rapid results. Regardless of your industry or where you are in your supply chain journey, we provide innovative solutions that have the breadth to meet your immediate needs and the depth to grow with your organization.

See Business Scenarios

Relevant Resources

Profile
Demand Sensing Intelligent Application Suite
Tracking demand is essential but difficult. Manage real-time partner and consumer demand with real-time…

Forecast Accuracy: Why It Matters and How to Improve It

White Paper
Forecast Accuracy: Why It Matters and How to Improve It
Understand the importance of forecast accuracy and how it drives key financial metrics that directly…

2021 Forecasting and Inventory Benchmark Study

White Paper
The 2021 Forecasting and Inventory Benchmark Study
Understand the pandemic’s effect on supply chain performance and learn proven best practices for using AI to…

White Paper
Blueprint for Managing Supply Chain Disruptions of Any Size
Gain insights from a fact-based study on global supply chain performance during the pandemic and learn why…

Relevant Resources

Profile
Demand Sensing Intelligent Application Suite
Tracking demand is essential but difficult. Manage real-time partner and consumer demand with real-time…

White Paper
Forecast Accuracy: Why It Matters and How to Improve It
Understand the importance of forecast accuracy and how it drives key financial metrics that directly…

White Paper
The 2021 Forecasting and Inventory Benchmark Study
Understand the pandemic’s effect on supply chain performance and learn proven best practices for using AI to…

White Paper
Blueprint for Managing Supply Chain Disruptions of Any Size
Gain insights from a fact-based study on global supply chain performance during the pandemic and learn why…

More from the Business Planning Suite

Expand your benefits and see even better results. Once you implement an e2open application, it’s easy to add more capabilities through integration with one or more additional applications from our unified platform.

More from the Business Planning Suite

Expand your benefits and see even better results. Once you implement an e2open application, it’s easy to add more capabilities through integration with one or more additional applications from our unified platform.

Use real-time data and AI to predict the probability of supply chain shortages. Take proactive steps to assure supply, capture sales and safeguard customer service.

Sense Supply