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Unilever Script

The document discusses the benefits of demand planning for Unilever, highlighting improved forecast accuracy through advanced analytics and collaboration with retailers. It emphasizes optimized inventory management to reduce stockouts and overstock, leading to increased customer satisfaction and cost savings. Additionally, it addresses sustainability goals by minimizing waste and supporting environmental initiatives.

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0% found this document useful (0 votes)

35 views4 pages

Unilever Script

Uploaded by

nguyenhien292004

We take content rights seriously. If you suspect this is your content, claim it here.

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You are on page 1/ 4

Now, we will learn about the content that I am about to present next, which is Benefits of

Demand Planning for Unilever

(Bây giờ, chúng ta sẽ tìm hiểu về nội dung mà tôi sắp trình bày tiếp theo, đó là….. )
My talk will be in 5 parts. So, I need your full attention on this part!

Let's start with the first content: Improved Forecast Accuracy

There are two things we need to keep in mind here: Enhanced precision through technology
and Partnership with Retailers and Suppliers. (đọc nhấn mạnh 2 cái gạch chân)

About Enhanced precision through technology by Use of Advanced Analytics and AI

In order to process massive information, such as past sales data, market trends, and
external factors (such as weather and economic conditions), Unilever uses techniques like
artificial intelligence (AI), machine learning (ML), and predictive analytics.

With the use of robots, the companies have started the shift from manual production
processes that were mostly dependent on human labor and discrete data management to smart
automation, with the goal of achieving complete smart automation by 2024.

Furthermore, data management and usage have been enhanced by the Internet of Things
(IoT) and artificial intelligence (AI) through a super application that aims to evaluate and
solve problems in an easy and scientific manner. Advanced analytics generally aid in
lowering forecasting errors, guaranteeing that the appropriate goods are manufactured and
supplied on schedule.

Qua slide

And how about Integration of Demand Sensing:

Demand sensing is the process of dynamically modifying forecasts using real-time data
from supply chain and retail systems.
Bring Benefit: This strategy guarantees reducing the likelihood of overstock and reacting
promptly to shifts in the market. Qua slide
Next, Collaboration Across Teams and Partners, we have:
Internal Collaboration:
Unilever makes sure that projections line up with marketing campaigns and promotional
plans by encouraging communication across the supply chain, sales, and marketing divisions.
With Benefit: Costs related to overproduction or unsold inventory can be decreased by
modifying inventory levels to correspond with promotional activity. Qua slide
And Partnership with Retailers and Suppliers:
Working together with retail partners gives Unilever access to point-of-sale (POS) data,
which gives it insights into the purchase habits of its customers in real time.
With Benefit: Increases responsiveness and guarantees that popular items are available in
important markets. Qua slide
The second content is Optimized Inventory Management,

Open with Reduction in stockouts and overstock situations (mục 2.1)

Unilever has used SAP included (System – Application – Product) software in

conjunction with a contemporary warehouse management system to reduce stockouts and
surplus inventory. The SAP system is configured to handle product shipments using the
First Expired First Out (FEFO) principle. The planning department benefits greatly from the
SAP software's ability to precisely schedule orders, production, and the selection of suitable
uses for warehouse output. It also helps to optimize the inventory management process and
guarantee high data accuracy, with a comprehensive and easily accessible history of
inventory transactions. Qua slide

Next, Better allocation of inventory across markets.

a. Product coding

Unilever global and Unilever Vietnam uses an 8-digit product code to manage
inventory.

For example, in the table below, we see that there are 8 product codes
corresponding to 8 product names.

Ko cần đọc trong cái bảng này

As a result:

+ Finished product management is highly efficient, and all activities—from production

and sales to inventory in and out—are tracked precisely and promptly.

+The manager may simply control and access warehouse information based on the
individual item codes. Qua slide

b) Internet of Things (IoT) and AI

+ Artificial intelligence (AI) and Internet of Things (IoT) technology are essential to the
manufacturing and supply chain as a whole.
+ Unilever is transitioning to a real-time operation model -> In order to promptly satisfy
customer and market expectations

c. Apply Just-in-time

Producing and delivering "just in time", or precisely the appropriate number of products
at the right time, is the main goal of JIT.

Unilever uses this technique to cut inventory, save money on storage, and lessen the
chance of product obsolescence and damage. Simultaneously, produce goods more flexibly
and react to market demand faster. Qua slide

And last, we have Bullwhip effect

Do you know this effect? So let me talk about it.

The rising demand volatility as it travels upstream from the final customer back to the
original manufacturer.

In order to predict market demand and modify production, Unilever has deftly used the
Bullwhip effect, guaranteeing a sufficient supply of products without creating surplus.

Unilever gathers demand data from a number of sources, such as social media platforms,
product evaluations, and customer surveys. The inventory management system will use this
information to calculate how many items will be required over a given time period and
modify raw material inputs accordingly. Qua slide

Let’s turn to the next issue: Increased Customer Satisfaction

+ Ensuring product availability at the right time and place.

+ By preventing stockouts and surplus inventory, accurate demand forecasting builds

consumer confidence.
Example: For example, customers will be dissatisfied if Dove shampoo is not available in
the store when they want to buy it.

+ When paired with prompt distribution, the demand forecasting system will enhance the
customer experience and boost brand recognition. Qua slide

I’d now like to change direction and talk about Cost Savings and
Efficiency, such as (này phần 4 )
+ Reduced operational costs through optimized production and distribution.

+ Using AI technology and contemporary management systems, precisely predict how

much cargo will need to be created and carried.

+ Reduce resource waste

+ Ensure the efficient use of resources such as materials and labor.

Example: avoiding overproduction and lowering storage expenses can be achieved by

precisely forecasting demand during busy times like Tet, Christmas, and Vietnamese
Teachers' Day on November 20. Qua slide

We come to the next point and also the last point, which is
5. Sustainability Goals

Let's find out what strategies Unilever has for this.

FIRST, Minimizing waste and supporting Unilever’s sustainability initiatives, such as
investing in packaging R&D to cut down on virgin plastic

SECOND, Demand planning minimizes production and consumption waste by lowering

needless inventory levels.
AND LAST, The "Unilever Sustainable Living Plan" campaign places a strong emphasis on
supply chain optimization as a means of minimizing environmental effect.
THAT’S ALL I WANT TO SAY ABOUT Benefits of Demand Planning for Unilever.
THANK YOU FOR YOUR ATTENTION!