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EYES ON THE FUTURE!

ONO-ONO MAGAZINE 12 NOVEMBER 2015

PLANNING INSPIRATION DAY

“Over 300 participants had their eyes on the future of forecasting.”

“The strong industrial feel offered a perfect environment to build towards the future.”

In this industrial monument – Van Nelle Fabriek - the PID2015 participants felt like captains of planning and forecasting. This was also because they were surrounded by the grandeur of De Delfshavense Schie, which is now the main shipping route and connecting the Delftse Schie and the Nieuwe Maas. www.vannellefabriek.com

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EYES ON THE FUTURE! Over 300 participants converged on the former Van Nelle Fabriek in Rotterdam on Thursday 12 November for the annual Planning Inspiration Day 2015.

In hosting this event, EyeOn brought together the highest concentration of knowledge, experience and creativity in the field of forecasting and planning in the region. Senior managerial representatives from over 100 large companies in the High Tech, Food & FMCG, Process and Life Science industry attended the event.

During more than 30 presentations and workshops, ideas were shared and peers and EyeOn planning and forecasting specialists brainstormed topics that the participants found challenging in their businesses.

EyeOn picked two trending themes for discussion: data analytics and human planning behavior. What are the best practices for collecting, analyzing and managing data? How do you reach company goals without personal objectives interfering? Having gained new insights into what specialists face, EyeOn responded by developing innovative practical models and tools to improve its customer service.

EyeOn made this magazine to remind you of this inspiring day and hopes to welcome you again to one of the future network meetings, expert sessions or master classes.

Check their website regularly to find out when these events will take place! www.eyeon.nl 12 NOVEMBER 2015 3

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CONTENT

Eyes on the future! 3 Kick off 6 Captains of planning 8 What did the PID2015 participants think?

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Keynotes14 The future of supply chain technologies by Lora Cecere Why new organizations operate ten times better, faster and cheaper by Yuri van Geest The impact of new technologies on people, business and strategy by Sander Duivestein Software vendors 17 Over 30 inspiration sessions 18 What were they about?

Croy Castle: Extraordinary meeting location for rent! 28 Eyes on forecasting 30 Andries Mulder, EyeOn about what’s trending in the forecasting field.

EyeOn has an eye on sports! 31 Donate to Doctors without borders 32 12 NOVEMBER 2015 5

KICK OFF

Freek Aertsen

Andries Mulder

Freek Aertsen and Andries Mulder kicked off PID 2015 by presenting the results of the EyeOn survey to behavioral aspects in planning and forecasting.

Over 20 large and diverse companies cooperated. The survey once more clearly reaffirmed: politics are there, we have to face it!

One of the outcomes was that political behavior was more prevalent in demand planning than in supply planning, 6 EyeOn

and budget was the most frequently mentioned driver of political behavior.

27% of original forecasts were modified for political reasons, but only 10% of these modified forecasts showed improvements. Participants found it hard to quantify the impact of political behavior in euros, but that does not mean the impact was not there or does not deserve to be addressed! Find more outcomes: www.eyeon.nl!

“Politics are there, we have to face it!”

Lora Cecere

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CAPTAINS OF PLANNING

In the early morning we meet with five participants. Why do they love their planning and forecasting job?

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Joyce Kroon

Bosch Security Systems “I love everything about the supply chain and planning focus,” shares Joyce Kroon enthusiastically. As regional logistics manager she is responsible for all their customers in the EMA (European, Middle East and African) region. “Our main goal is that every customer gets a reliable delivery of our products.”

Joyce predicts a lot of (supply chain related) changes for her company.

“We need shorter lead times and increased flexibility. Last year they followed an EyeOn training session with their planning team. “It’s good that EyeOn looks ahead at trends, since I don’t have time for that.”

“It’s good that EyeOn looks ahead at trends, since I don’t have time for that!”

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“I hope to fire people’s imaginations”

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Sudhakar Sinha Givaudan

“It’s a challenge to touch upon so many people’s lives and deliver something that gives them pleasure. You can find the flavors and fragrances we produce, supply and develop at our company Givaudan, in perfumes and the food you eat from the supermarket like soft drinks and ice-cream.”

Givaudan and EyeOn have been in touch for a very long time. He loves their hands on approach to the business supply chain, and hopes to fire his own imagination for what he calls “passion for the future”.

“I was tipped to start my research today here at PID2015”

Jasper Verhoeven (21) KU Leuven

Jasper was tipped by Willem de Groot of Philips Philips Consumer Lighting to start his research for his thesis at the EyeOn PID2015.

Later today he will interview Willem, who is one of the facilitators of the inspiration sessions today. Jasper’s thesis will be about integration of sell through data. He hopes to study at the School of Business Management in Rotterdam and to work in the supply chain field in the future.

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“I like to hear more about setting up a fulfillment strategy today”

Marcel van Sikkelerus FEI Company

Susanne Maassen

Lamb Weston Meijer No day is the same and this is why supply chain fulfillment specialist Susanne loves her job. The diverse interests of customers and her company inspire her.

Together with EyeOn, her company has set up a completely new process to steer its business. Her main goal at PID 2015 is to gather more information about setting up a fulfillment strategy for the next 2-3 years.

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This manager of procurement and warehousing’s telephone cover, covered with Minions from his daughter, made him stand out from the crowd. His company develops and produces microscopes. He is driven by the daily activities of the supply chain: continuous improvement and optimization. In short: getting things done! One of the EyeOn partners was his former manager at Philips. EyeOn supported and advised FEI Company on logistic issues, mostly related to optimization and the management of inventory. “EyeOn helped us to lose our tunnel vision!”

“EyeOn helped us to lose our tunnel vision!”

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KEYNOTE QUOTES

The future of supply chain technologies During PID2015, one of the world’s leading supply chain visionaries shared five predictions for Supply Chain 2020.

Lora’s presentation on the Future of Supply Chain Planning Technologies made people think differently about supply chain management. Her smart supply chain and demand-driven advice helps companies perform better. According to her, the development and growth of new business models provides an opportunity for supply chains to evolve.

The Digital Supply Chain is a great opportunity to drive Growth. Lora, however, warns not to push digital for the sake of digital. Instead, she advises to first define a business problem, and then attack it in a new way. She advises to: “embrace the confluence of technologies and learn from the past to unlearn and then drive new outcomes.”

Today, innovators are experimenting with new forms of technologies, but she predicts that in the next five years, these technologies will coalesce. “We are moving into the third act of supply chain planning.”

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Lora Cecere, Founder of Supply Chain Insights: “Learn from the past to unlearn and then drive new outcomes.”

Supply chain 2020, where: • The focus will be on designing and implementing outside-in processes.

• Supply chains will learn while we sleep.

• Innovators will build the network of networks.

• There will be a redefinition of master data management.

• Leaders will seize growth opportunities from building the digital supply chain.

The Exponential Organization Co-Author of Amazon bestseller Exponential Organizations Yuri van Geest explained in his keynote why new organizations operate ten times better, faster and cheaper.

Our environment is changing exponentially, mainly driven by exponential technologies and globalization. As a result, the world is becoming increasingly open and transparent and we are slowly moving from a world of scarcity to a world of abundance.

However, our organizations are still linear: hierarchical, centralized, closed, top down and focusing on ownership due to scarcity of people, resources, assets and platforms. They evolved one hundred years ago for an era of economies of scale and relative stability and predictability.

Now it is time to introduce the Exponential Organization, which leverages openness, transparency and abundance in a new way.

This is a new organizational model that is conducive to an exponential age. It closes the gap between the linear organization and its exponential environment. It is at least ten times more effective, efficient and/or faster relative to its linear peers in the same market.

Keynote speaker Yuri van Geest: “The Exponential Organization leverages openness, transparency and abundance in a new way.�

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KEYNOTE QUOTES

Embrace and experiment!

Trendwatcher Sander Duivestein mainly focuses on the impact of new technologies on people, businesses and society. What is the impact? Read about it here.

Ga je mee? (Are you coming?) plays on the car radio when Sander’s daughter Mijntje (9 years old) asks him to play it again. He finds himself explaining the concept of radio to her, as she is used to streaming everything on Youtube and Spotify.

Tessla, Uber, Airbnb, 3D printing; there is no use trying to keep these developments and other new technologies outside your business doors. Resistance is futile. Sander refers to this as Digital Darwinism: “Adapt or die!”

In the digital era accelerated change is the only constant. We find ourselves in the center of change and together we need to write the manual for the digital revolution. Don’t cling to the past, become part of the solution. Accept, embrace and experiment in order to change your business in a positive way. Ga jij mee?

(Are you coming?)

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Sander Duivestein: “Adapt or die”

SOFTWARE VENDORS

unified Performance Management Software: www.tagetik.com

At the information market Software vendors Tagetik, Anaplan, TXT e-solutions, Board, Tidemark, Infor, OM Partners, Icron were together with EyeOn forecasting and planning specialists on hand to advise anyone with forecasting and planning challenges.

Board: Business Intelligence Software Solution: www.board.com

Anaplan:

Tagetik:

The Enterprise Planning Cloud: www.anaplan.com

TXT e-solutions: software development and consulting company: txtgroup.com

Tidemark:

Infor:

Corporate Performance Management Software: www.tidemark.com

Industry Specific Business Applications: www.infor.com

OM Partners:

ICRON:

Supply Chain Planning Software: www.ompartners.com

Technologies for Advanced Planning, Scheduling, Optimization and Analytics: www.icrontech.com

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The inspiration sessions Over 30 inspirational meetings, what were they about?

Session Buffering as a sustainable weapon to cope uncertainty

Session Consumer and retail trends and their impact on value chain optimization

Question What is key to counteracting demand and process uncertainties?

Answer Prof. Nico Vandaele, KU Leuven: “The three supply chain buffers: inventory, capacity and time.”

Question How to respond to the demanding consumer of tomorrow?

Answer Arike van Rooij / André Vriens – EyeOn “Integrally plan and forecast the complete value chain, together with your business partners. Furthermore, EyeOn have developed five building blocks that help to optimize your value chain in a time where consumers are more empowered than ever before and expect you, as a brand, to serve them both off and online 24/7.”

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Session S&OP: Pitfalls & Trends Question Which preconditions have to be met to make sure that the S&OP process leads to high quality decisions?

Answer Freek Aertsen – EyeOn “Make sure that relevant information is available and that the process is well structured.

Also a thorough understanding of human behavior is pivotal in getting results!”

Q&A’S ROUND 1

Session Experiencing and learning about key account planning at Philips Consumer Lighting Question How did the implementation of key account demand planning at Philips Consumer Lighting go?

Answer Willem de Groot Philips Consumer Lighting: “Key Account Demand planning was successfully introduced!”

Session Big Data & Analytics to improve your Planning Question Can big data & analytics improve your planning?

Answer Rymson Balentien / Jan Veerman – EyeOn Big data & analytics can add value to the Planning & Forecast process! They: • increase insight • are a huge differentiator • are an adventure, not a project • are a change to processes, people & tools • add value to the planning & forecasting process

Session The journey to a more mature S&OP organization at Lyondell Basell Question What journey did Lyondell Basell take?

Answer Floris van Munster Lyondell Basell “In 2014, LYB embarked on a 4 year program to calibrate its S&OP processes in an IT landscape against best practices in the market.”

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Session Does your planning organization support your business and strategic goals?

Session Shelf life optimization – Towards Minimal-Waste Supply Chains

Question What are guidelines for managing organizational change?

Answer Joost Rongen / Luc van Wouwe – EyeOn: “End, don’t start with the organizational design. With regards to Supply Chain Strategy, mapping the value stream and planning organization discussions requires executive management leadership.”

Question Can costs and food waste be reduced throughout the food supply chain?

Answer Joost Snels Wageningen UR Food & Biobased Research: “There is a massive amount to be gained in shelf life optimization. Product losses can be reduced, gaining additional benefits like reduction of material usage and inventory levels, and optimizing shelf product performance. The food industry, retailers, Wageningen UR and EyeOn can learn and benefit from optimal collaboration.”

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Session Post-merger Pharma planning priorities Question What did you determine during your workshop?

Answer Bram Bongaerts – EyeOn “That the most effective core process within Demand Planning, Supply Planning and S&OP is to focus on mergers, and we identified which steps to take to realize that focus.”

Q&A’S ROUND 2

Session Planning with Anaplan

Session Planning with Tidemark

Question What did you do in your session?

Answer Marco van Oosterhout - Anaplan: “We showcased enterprise-wide planning and forecasting and demonstrated how to achieve inter-connected and real-time management of business planning in a fast changing world.

We helped participants visualize how to achieve Unstoppable Planning in S&OP, Finance, Marketing and Workforce Planning.”

Question What is planning with Tidemark all about?

Answer Marc Huijbregts Tidemark “Tidemark delivers an all-in-one solution that allows businesses to bridge the gap between S&OP and Financial planning. Our big data platform allows customers to use their vast amount of S&OP data to be linked with the different corporate financial perspectives. Furthermore, the integrated predictive & machine learning capabilities will uncover expected & unexpected drivers for churn analysis, or other business challenges. All you have to do is execute the improvement plans!”

Session Forecast Differentiation - 80% less effort, 15% more accurate Question How can forecasting be less time consuming and more accurate?

Answer Yulia Meshalkina / Luc van Wouwe – EyeOn “Forecasting often requires a lot of manual effort, making it a time consuming activity. A differentiated forecasting approach that includes the use of statistical forecasting and product segmentation, will support companies in improving the efficiency and effectiveness of the forecasting process.”

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Session Supply chain planning improvement @ Cargill Animal Nutrition

Session From second-guessing to fact-based planning in the success of promotions

Question What did Cargill Animal Nutrition achieve?

Answer Sander Kerkhof / Jochem van den Brink - Cargill Animal Nutrition “Cargill Animal Nutrition’s supply chain has gone through a major turnaround in the last two years.

The company achieved planning stability based on a healthy tradeoff between make-to-order and make-to-stock using market and customer segmentation.”

Question What are the opportunities for dealing with promotions?

Answer Edward Versteijnen – EyeOn “The frequency and depth of promotions is increasing in many segments. Yet promotion forecast is often based on gut-feeling and experience and planners spend considerable time on this. As data becomes more widely available, this opens opportunities for more advanced and efficient ways to deal with promotions. High margin, low effort: focus your judgmental effort where it makes most sense and let statistics support you. Know your promotional drivers and monitor, evaluate and collaborate to get the most out of your promotions.”

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Session Managing supply disruptions Question How to take market, supplier & company risks in business processes Answer Stijn Rutjes – EyeOn “Growing supply chain complexities mean that companies become ever more exposed to supply chain risks. They have to: • Create visibility; track supply chain dynamics proactively (downstream and upstream) to identify and map risks.

• Design for flexibility and optimize supply chain set-up, taking into account relevant risks in supply, process and demand.

• Enable prompt response to dynamics and disruptions without significant increase of operational costs.

• Define relevant mitigation scenarios; embed scenario based decision making in planning cycles.”

Session Argus I: cross-over between logistics and supply chain planning Question What does MEGEOS stand for?

Answer Lieke van Amelsfoort Argus I “MEGEOS – multi echelon inventory management and network optimization.”

Session New Product Forecasting: New approaches Question What was discussed in your session?

Answer Freek Aertsen – EyeOn “New product forecasting improvement is one of the most challenging aspects of planning demand. This session elaborated on the best practices and shared insights from leading companies from different industries.”

Session The Potential of Knowledge Process Outsourcing: A Client-Vendor Perspective Question What did you conclude during your meeting?

Answer Daria Timoschenko – EyeOn “Today, knowledge intensive processes are becoming more and more critical. However, specialization in every field of the business value chain is impossible.

This is when, Knowledge Process Outsourcing can become a competitive strategy in achieving business excellence which is truly end-to-end.”

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Session Planning the OmniChannel Supply Chain Question Why is the OmniChanel a hot topic?

Answer Alain Broft – EyeOn “The Omni-Channel strategy is a hot topic in the marketing and sales world, because companies want to allow the customer to order from anywhere.”

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Session Integrated business management @Lamb Weston: It‘s a people process!

Question What was your workshop about?

Answer Ton Maltha - Lamb Weston “We gave more insights into what Integrated Business Management means to Lamb Weston Meijer, which is a global potato solution company. We discussed what the impact of IBM is on our way of working and how it helps us with our growing ambitions.“

Session A journey to best practice S&OP at Van Geloven Question What was your workshop about?

Answer TXT e-solutions, Niek van de Crommert: “We discussed: • Preparation – Organization & Business Processes.

• Facilitation – How do we make this possible/easier?

• Partnering for Success – choosing and deploying the right tools and people to help.

• Delivering Success.”

Q&A’S ROUND 3

Session How to deal with data issues in an S&OP project

Session Engager - measuring commitment in S&OP

Question What was your workshop about?

Answer Jurgen Maas – EyeOn: “In many projects, insufficient quality of data was found to be the root cause for delaying S&OP improvement projects. This important issue was discussed in a brainstorm session. How can data quality issues be recognized in an early phase? How can challenges and risks be dealt with? What are proven remedies to prevent project delays?”

Question What does effective change management require?

Answer Prof. dr. Woody van Olffen – TIAS “Effective change management requires insight into the commitment of the different stakeholders.

Engager has the capability, based on solid scientific principles, to track and predict a stakeholder’s commitment.”

Session S&OP at Tata Steel Question What was your workshop about?

Answer Huib Simon - Tata Steel “We described the development and application of an advanced S&OP process at Tata Steel; the background, challenges and successes.”

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Session Improve your Excel experience with Power Pivot

Session Optimize your Supply Network Planning

Question What was your workshop about?

Answer Gert-Jan Wolleswinkel – EyeOn “We demonstrated how to quickly set up a basic report using Power Pivot based upon multiple sources.”

Question What was your workshop about?

Answer Stijn Rutjes – EyeOn “There are different techniques to optimize your supply chain.

One of the techniques is robust optimization. We discussed how this can help your company and whether this is the real holy grail!

Via a robust optimization supply chain game we found that out!”

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Session TPM Ahead!

Question What was your workshop about?

Answer Martin Daudey / Andre Vriens – EyeOn “Within CPG, Trade Promotion Management is key to enable healthy business. Promotions are hard to predict and have a severe impact on demand and business planning. As the frequency and depth of promotions is steadily increasing in many different segments, the need for a more professional process is inevitable.

In this session gave more insight into advanced TPM processes and systems.”

Session Professional Inventory Management

Session Integrated Business Planning with Tagetik

Question How can inventory management help to improve business performance? What are your key takeaways?

Answer Michiel Jansen / Joost Rongen – EyeOn “The key takeaways were that managing an inventory starts with creating insight. Distinction needs to be made between cycle stock, safety stock, anticipation stock and overstock. The integral costs of carrying an inventory should be taken as a base for decision making. Dynamics are not the same as uncertainties. For instance, dynamics that are part of supply chain dynamics can be forecasted (events, promotions, trends, seasonality). We concluded with one size does not fit all. You have to segment your product portfolio and differentiate stocking and service level policy to balance market requirements with inventory investment.”

Question What is your workshop about?

Answer Tagetik Tom Borsboom “What if you could instantly see the P&L and cash impact of changes to your sales and production plan?”

Session Infor Sales & Operations Planning Infor: How to bridge the gap between operational realities and financial objectives Question What was your workshop about?

Answer Infor Michael Weidel “Aligning your sales forecast with capacity and inventory constraints in your supply chain network in a collaborative manner. Participants also learned how market leading manufacturing and distribution companies bridge the gap between operational realities and financial objectives using Social Collaboration.”

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CROY CASTLE EXTRAORDINARY MEETING LOCATION FOR RENT

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Looking for a special location for a business meeting? Come to the rural, monumental Croy Castle in Aarle-Rixtel. This beautiful castle, as well as being a national monument, is also a modern office environment.

With extensive facilities for meetings, brainstorm sessions, management meetings, workshops, training, presentations etc.

The castle has several meeting rooms with good facilities. The entire building is equipped with Wi-Fi, there is a cozy lounge with a bar and a beautiful garden. The castle is located just north of Helmond, 15 km from Eindhoven.

EyeOn is the proud inhabitant of this unique location and we invite our relations to rent a room in the castle for a business meeting.

For more information please contact: Freek Aertsen (freek.aertsen@eyeon.nl) Andries Mulder (andries.mulder@eyeon.nl)

3x Extraordinary

1

The oldest parts of Croy Castle were probably built in the 15th century.

2

Croy Castle runs an organic garden and produces Croy apple juice, Croy herbs and Croy cheese. The ingredients of Croy beer are grown on the estate.

3

The last inhabitant of the castle was Freule Constance van der Brugghen.

She was a protestant but converted to Catholicism – inspired by her boyfriend the brewer - during the last days of her life

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EYES ON FORECASTING

Andries Mulder is one of the founders of EyeOn and specialized in forecasting and planning. Together with Martine Harmeling and Kim van Broekhoven he is the main organizer of the third Planning Inspiration Day. We ask Andries five questions about forecasting: Why does EyeOn annually organize Planning and Inspiration Days? “Forecasting and planning is a specialist field. During these Planning and Information Days we like to gather fellow specialists to share knowledge and experience. Having gained new insights into what they face, we (EyeOn) respond by developing innovative practical models and tools to improve our customer service.”

What drives the EyeOn team? And you? “EyeOn wants to be the best in its field. We aim to support our clients in managing the internal complexity of their companies by designing, implementing and executing the best possible planning processes and therefore improving their business performance.

Personally, I love to cooperate with specialists in an open culture in order to develop innovations.”

Why is forecasting so important? “Forecasting directly impacts company results. It helps you to operate your supply chain in a more efficient way.”

What are forecasting best practices and what is challenging? “It is good practice to implement forecasting at the right place and time, and therefore prevent surplus stock. It is challenging to deal

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Andries Mulder: “Having gained new insights into what specialists face, EyeOn will improve our customer services”

with products that have a short lifespan and/ or products where one technical development rapidly follows another, like TV’s and smartphones.”

• What are trending topics in forecasting?

• Using big data both from companies as well as from social media.

• The debate on centralization versus decentralization.

• Balancing human judgement (soft factors) and hard numbers.

EyeOn is a specialized consultancy firm with offices in the Netherlands, Belgium and Switzerland that supports multi-site companies in implementing planning and control processes. Our team consists of 40 people. We are divided into five teams: health care, food and fast-moving, process, life science and high tech. We have a large network in those fields. Together we offer a center of knowledge.

Andries Mulder, EyeOn: “Great if we can help ambitious dreams come through!”

EYEON HAS EYE ON SPORTS! The EyeOn team not only has a heart for planning and logistics, but also for sports.

In the coming year the EyeOn team will support the AV Sprint ladies who won the Dutch Athletic championship 2015 and dream of competing with the best European athletes in 2016. For the European Champion Clubs Cup in Turkey,

EyeOn will take care of the logistics and will make their stay possible. EyeOn has a special eye on Marlieke Husslage, who happens to be EyeOn employee Paul Husslage’s very talented sister.

Follow the adventures of the Dutch ladies sprint team on their facebook page www.facebook.com/damesploegavsprint/

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DONATE TO DOCTORS WITHOUT BORDERS

Doctors Without Borders/Médecins Sans Frontières (MSF) provides medical care where it is needed most in nearly 70 countries.

The organisation was founded in 1971 to assist people whose survival is threatened by violence, neglect or catastrophe. Emergency medical aid is delivered to people affected by armed conflict, epidemics, natural and manmade disasters or exclusion from health care.

Every year MSF sends around 3,000 doctors, nurses, logisticians, water-and-sanitation experts, administrators and other professionals to work alongside over 25,000 locally hired staff. In 1999, MSF received the Nobel Peace Prize.

The EyeOn team donates a days work to Doctors Without Borders to help them improve their supply chain. The challenges this international humanitarian organisation faces are: • lengthy delivery times to places of emergency i.e. in the Central African Republic.

• predicting the right stock of medication, which can be a matter of life and death.

See for more information: www.artsenzondergrenzen.nl and their Facebook page www.facebook.com/noodhulp

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Colofon For more information on the EyeOn team: www.eyeon.nl.

ono-ono, magazine on the spot www.ono-ono.nl The ono-ono team this time: Journalist: Simone Bommeljé Editor: Alex Welch Photography: Roelof Pot Graphic design: Gijsbert Raadgever, Akimoto design