IBM and SAP have unveiled an all-new retail solution to aid forecast accuracy utilising real-time data from various sources. This solution intends to address primary challenges of on-shelf product data and forecasting accuracy.
IBM’s Metro Pulse works on cognitive services to provide information on weather, events and traffic. When tested in more than 100 stores, a 75% improvement in accuracy regarding the forecast information was reported. IBM’s Metro Pulse will flow through SAP’s Cloud Platform to deliver these predictions. The data sources include real-time market-demand signals, live business and other demographic data.
According to Lori Mitchell-Keller, Global General Manager, Consumer Industries at SAP,” Through this exciting collaboration between SAP and IBM, retailers and consumer product companies today can respond with speed, precision and confidence to locally relevant events.”
It follows up on IBM’s investment in retail and consumer packaged goods with SAP S/4HANA industry solutions. “SAP S/4HANA, coupled with access to rich, hyperlocal data understood and reasoned by IBM’s cognitive services, can provide consumer product and retail business users across the c-suite with the specific insights to gain a competitive advantage in major markets,” reported Laurence Haziot, IBM global managing director and general manager of consumer industries.
This solution presents as one of the most innovative plans in predicting forecast information with increased accuracy in the store level after IBM and SAP’s digital transformation partnership in April 2016.