DDVN Objective
DDVN objective is to define a wholistic Product, Demand, and Supply business model
Do your product satisfy consumer demand?
How do product/consumer pairs contribute to revenue and margin?
What are the next products you should assort and at what expected contribution?
Are they extensions of the current assortment or white space products?
Are there currently assorted products that should be retired?
Key Driving Processes
DDVN has three key driving processes: Demand Sensing, Demand Shaping and Demand Responding
Demand Sensing: Uses AI/ML to define projected demand and respond dynamically to changes in demand
Demand Shaping: Deploys events, pricing, and other demand generation opportunities to increase revenue and margin
Demand Responding: Optimizes the supply network to support perfect orders to consumer
Demand Sensing Process Overview
Demand Sensing Cycle
Multi-Steam History Decomposition is supported by AI/ML technology to define repeatable historical sales
Muli-Stream Statistical Forecasting uses the decomposed history to project repeatable future sales and enhance projections via AI/ML causal factor and trend sensing
Internal and Customer Collaboration identifies future demand that is planned
Market Intelligence Management identifies changes in market condition, e.g., new competitors, new distribution outlets, changing demographics
Causal Factor Management allows AI/ML to consider micro and macro economic influencers such as weather and new housing starts
Demand Shaping Process Overview
Demand Shaping Cycle
Business Performance Targets are established for category revenue and margin
Marketing Events Management develops and deploys marketing campains
Sales Event Management develops and deploys sales events
Supply Constraints Management informs Marketing and Sales of potential supply contraints for remediation
Demand Responding Process Overview
Demand Responding Cycle
POS Management provides immeidate feed back of Store/Key Customer demand trends
Customer Inventory Collaboration provides dynamic information on current Store/Key Customer inventory positions
Dynamic Inventory Management supports real time visibility to location of all network inventory to allow dynamic allocation/re-allocation to optimize network inventory performance
Dynamic Capacity Management supports real time visibility to constrained and available capacities to allow dynamic assignment/re-assignment to optimal inventory creation
DDVN Maturity Model
5 Stage DDVN Maturity Model
The DDVN Maturity Model enables assessments of a companies development stage
- React
- Anticipate
- Integrate
- Collaborate
- Orchestrate
across multiple focus areas
- Outcome
- Metrics
- Process
- Technology
- Organization & People