Question 2: Should we use a phased approach?

  • If your proposed implementation is using data that already exists and has been proven to be clean and complete then you can likely take on a larger Demantra project.
  • If Demantra is new to your organization and the data (both "standard" from EBS and "custom" from other sources) has not yet been vetted, then you would do well to implement your project in a two phases.
  • In the case of two phases, the the first phase is typically the "DM" phase and basic S&OP where the concentration is on:
    • quality ITEM, LOCATION, and SALES data
    • proper hierarchy levels within the model
    • forecast generation
    • simplified S&OP contributions
    • user training and familiarity
  • The second phase would then typically be advanced S&OP or PTP/DSM
    • customized S&OP if required
    • modeling the desired promotions and causal factors 
    • populating the model with known (historical) promotions
    • populating the model with an initial pass at planned (future) promotions
    • enabling promotional "forecast lift" and adjusting the engine and the model until things work 
  • The critical factor tends to be quality and completeness of data, which generally takes many cycles of import-review-diagnose-correct before it is ready for production use.