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Companies adopting demand-driven supply chains typically enjoy increased sales, reduced operating expenses and improved working capital.

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A few key benefits of demand-driven supply chains

  • Improved fill rates and reduced out-of-stocks drive increased revenue and recoverable sales.
  • Greater certainty over demand, organizations can carry less stock.
  • Better visibility of supply and demand often results in fewer disruptions to supplies.
  • Process automation reduces operating expenses, allowing buyer/planners to manage by exception.

One study by Gartner found that organizations with integrated, demand-driven supply chains grow revenue faster, achieve more than 15 percent higher ‘perfect’ order rates and reduce inventory levels by as much as 33 percent.

In another KPMG study, companies with real-time access to data on physical and financial flows were far more likely to be in the top industry quartile for revenue growth and margin.

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