The Next Generation of Demand Planning - QAD IncThe Next Generation of Demand Planning Intelligent...

The Next Generation of Demand PlanningIntelligent and Real-TimeShaun Phillips, QAD DynaSysWednesday, May 8, 2019

Safe HarborThe Next Generation of Demand Planning

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This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to significant risks and uncertainties. Actual results and events may differ materially from those set forth in these forward-looking statements. These risks and uncertainties are detailed in QAD’s SEC filings, including its latest Annual Report on Form 10-K and in particular the section titled “Risk Factors” therein and other periodic reports subsequently filed by QAD with the Securities and Exchange Commission.

This presentation contains references to certain financial measures that have been adjusted to exclude certain expenses and other specified items. These financial measures differ from comparable measures calculated and presented in accordance with accountingprinciples generally accepted in the United States of America (“GAAP”) in that they exclude unusual or non-recurring charges, losses, credits or gains. Management believes that financial presentations excluding the impact of these items provide useful supplemental information that is important to a proper understanding of the Company’s results. These presentations should not be viewed as a substitute for results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP financial measures presented by other companies.

This presentation is intended to outline QAD’s general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, functional capabilities, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functional capabilities described for QAD’s products remains at the sole discretion of QAD.

QAD undertakes no obligation to update forward-looking statements.

The Next Generation of Demand Planning

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Shaun PhillipsProduct Manager

QAD [email protected]

Sunrise over new Orleans

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Digital Forecast

AgendaThe Next Generation of Demand Planning

The previous generation

The tipping point

The Next Generation

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Before 2007 − Previous GenerationThe Next Generation of Demand Planning

• Inside-Out Planning- Uses stakeholders and data that reside within the four walls

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SalesHistory

StatisticalForecasting

Consensus Planning

PublishDemand

Plan

Widgets ‘R Us

The Year 2007The Next Generation of Demand Planning

Declining Costs in Bandwidth, Storage and Computing

Cos

t of P

erfo

rman

ce

1992 Today

$1,245 per Gbps

$569 per Gb

$222 per million transistors

Bandwidth<$10Storage

<$0.01Computing<$0.06

Sour

ce: D

eloi

tte A

naly

sis

The Tipping PointThe Next Generation of Demand Planning

STORAGE PROCESSING COMMUNICATION

Circa 2007The Next Generation of Demand Planning


Since 2007The Next Generation of Demand Planning

MACHINELEARNING 89%

Google ML


CLOUDBIG DATA

2,7 ZBGoogle Processing



INTERNETOF THINGS+330M

Per Month



MACHINELEARNING

CLOUDBIG DATA

INTERNETOF THINGS



MACHINELEARNING

CLOUDBIG DATA

INTERNETOF THINGS

ADVANCEDANALYTICS


Since 2007


MACHINELEARNING

CLOUDBIG DATA

INTERNETOF THINGS

REAL TIMESENSE RESPOND


Since 2007


MACHINELEARNING

CLOUDBIG DATA

INTERNETOF THINGS

SOCIALCOLLABORATION


Since 2007

SOCIALCOLLABORATION

REAL TIMESENSE RESPOND

ADVANCEDANALYTICS


MACHINELEARNING

CLOUDBIG DATA

INTERNETOF THINGS


Since 2007

A Modern Demand Planning ProblemThe Next Generation of Demand Planning

So much technology

So few insights

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AugmentedReality

MachineLearning

AdvancedAnalytics

Cloud

Data Lake

DigitalTwin

Security

Social

BlockchainBusinessProcess

Management

Mobile

ProcessAutomation

IoT

A Modern Demand Planning ProblemThe Next Generation of Demand Planning

So much data

So few insights

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Promotions Activity

Customer Forecasts

Point ofSale

Macro-Economic Forecast

Historical Events

Demand History

Competitor Activity

SalesHistory

Industry Statistics

Weather

Product Launch

PlanSocial

Sentiment

Making SenseThe Next Generation of Demand Planning

Look outside the four walls Embrace the extended supply chain

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SalesHistory


Consensus Planning

PublishDemand

Plan

Widgets ‘R Us

Making Sense − Data InputsThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan

SalesHistory

• Orders• ForecastsCustomers

• Pricing, Promotions, • RecallsCompetitors

• Social sentiment• Point of SaleConsumers

• Customs. Import/Export Volumes• Statistics Bureau. Interest rates, FOREX

RegulatoryBodies

Making Sense − Data InputsThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan

Customers

Competitors

Consumers

RegulatoryBodies

Customers

Competitors

Consumers

RegulatoryBodies

Making Sense – Plan GenerationThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan


• Correlation Causation Analysis• Ignores non-correlated data

MachineLearning

• Cluster by behaviour, not by brandIntelligentClustering

• Predict Launch BehaviourProductIntroduction

• Identify short term demand signalsDemandSensing

Making Sense – Plan GenerationThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan

Customers

Competitors

Consumers

RegulatoryBodies

MachineLearning

IntelligentClustering

ProductIntroduction

DemandSensing

Customers

Competitors

Consumers

RegulatoryBodies

MachineLearning


ProductIntroduction

DemandSensing

Making Sense – Consensus PlanningThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan

• Drive fact based decision making• Identify Actionable Insights

AdvancedAnalytics

• Social Feed Synchronisation• One forum, many subjects

SocialCollaboration

• Multi-enterprise collaboration• Communicate vertically

End to EndCollaboration

• Calendar/Task Synchronisation• Coordinate processes vertically

SmartWorkflow

Consensus Planning

Making Sense – Consensus PlanningThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

Plan

Customers

Competitors

Consumers

RegulatoryBodies

MachineLearning


ProductIntroduction

DemandSensing

AdvancedAnalytics

SocialCollaboration


SmartWorkflow

Making Sense – The Next GenerationThe Next Generation of Demand Planning

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SalesHistory


Consensus Planning

PublishDemand

PlanBig

DataMachineLearning

SocialCollaboration

PublishDemand

Plan2007 2019

Customers

Competitors

Consumers

RegulatoryBodies

MachineLearning


ProductIntroduction

DemandSensing

AdvancedAnalytics

SocialCollaboration


SmartWorkflow

BigData

MachineLearning

SocialCollaboration

PublishDemand Plan

What Does it Take?The Next Generation of Demand Planning

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Summary

The proliferation of available data requires different technology.

Machine Learning is a method – not an outcome. The data & people required to make insightful decisions are

no longer inside the company. Disruption will continue. Technology is a source of competitive advantage. Leverage of data is a source of competitive advantage.

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Next Steps

1. Do not be fearful.2. Break down the 4 walls when it comes to data and people.3. Challenge de-coupled trading relationships. 4. If it doesn’t add value – move on.5. Your supply chain actors are already collaborating.

Can you harness the value.6. Leave process automation till last.

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Questions?The Next Generation of Demand Planning

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Shaun PhillipsProduct Manager

QAD [email protected]

The Next Generation of Demand Planning - QAD IncThe Next Generation of Demand Planning Intelligent...

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