This is the keynote delivered by Ashutosh Bansal (President & CEO, GitaCloud) at SAP & GitaCloud co-hosted IBP customer event in Mumbai on 8th March 2019. Learn how to think beyond supply chain centric S&OP context. You can leverage SAP IBP to combine operational, commercial, and financial planning domains in a holistic integrated business planning model and processes. Learn how to move beyond simple MAPE based forecast accuracy metrics to bake in forecastability of the underlying data with Relative Absolute Error (RAE) measures to quantify value-add from statistical, sales, demand planner, and consensus demand forecasts. Learn how to move from volume centric planning to chasing optimal economic value (operating margin, return on capital employed) by developing a detailed forecast of cost to serve a given demand plan. Akhilesh Pandey (Principal, GitaCloud) and other GitaCloud team members present an SAP IBP showcase as part of this keynote. You can send an email at connect@gitacloud.com to learn more.

1. 1© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Customer Event, Mumbai: 8th March, 2019
Chasing Value

2. 2© 2018 GitaCloud, Inc. All Rights Reserved.
GitaCloud Corporate Overview
Experts You Can Trust
Founded in 2015 by
Ashutosh Bansal
Headquartered in USA
Active Presence in India
IBP Reseller /
Implementation Partner of
SAP
IBP Process & SAP IBP
Product Specialists
Value Optimization
Services (Forecasting,
MEIO, Margin Optimizer)
Transformation Partner
(Value Benchmarking, IBP
Academy)

3. 3© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Value-focused Scenarios
IBP Process Step Showcase Scenario
Demand Review
• Consensus Demand Planning
• Currency Exchange Rate Fluctuations
• Credit Constraints
• Forecast Error: Value-Add over Naïve Forecast
Supply Review
• Constrained & Optimal Supply Planning
• RM Price Fluctuations Modeling
Reconciliation & Executive Review
• Forecasted P&L based on Detailed Costs from Supply Response
• Forecasted Performance vs. Business Plan Goals

4. 4© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Currency Exchange Rate Risk Modeling

5. 5© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Forecast Error (MAPE) vs. Bias

6. 6© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Relative Error (Error vs. Naïve Error)

7. 7© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Relative Error (Error vs. Naïve Error)

8. 8© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Consensus Demand vs. Constrained Demand

9. 10© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Margin with Service Maximization Strategy

10. 11© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Margin with Profit Maximization Strategy

11. 12© 2018 GitaCloud, Inc. All Rights Reserved.
IBP Showcase
Margin Comparison: Service Max (Baseline) vs. Profit Max

12. 13© 2018 GitaCloud, Inc. All Rights Reserved.
Inventory
Turns
Operating
Margin
4.00
4.50
5.00
5.50
6.00
6.50
7.00
0.15 0.16 0.17 0.18 0.19 0.20 0.21 0.22
Dabur's Orbit Chart for Turns vs. Margin
2010
20112012
2013 2014
2015
2016
0.30
0.35
0.40
0.45
0.50
0.55
0.60
0.65
0.70
0.75
0.05 0.10 0.15 0.20 0.25
Dabur's Orbit Chart for Revenue Growth vs. ROIC
2010
2011
2012
2010
2011
2012
2013
2010
2011
2012
2010
2011
2012
20132014
2015
2016
Return On Invested
Capital ROIC
Revenue
Growth
Next Steps
Value Example: Orbit Charts for Dabur (CPG Leader in India)

13. 14© 2018 GitaCloud, Inc. All Rights Reserved.
Next Steps
Value Example: Value Tracking & Data-driven Business Case for Dabur
Statistical Forecast Accuracy by Lag for May 2017 based on wMAPE measure May’17 Accuracy Baseline Improved By
Lag 0: May 2017 forecast (May Cycle) based on Actuals till April 2017 64% 83% (from 35% to 64%)
Lag 1: May 2017 forecast (Apr Cycle) based on Actuals till March 2017 63% 80% (from 35% to 63%)
Lag 2: May 2017 forecast (Mar cycle) based on Actuals till February 2017 64% -
Metric Baseline
SKU Count 447 SKUs
Baseline: Lag 0 wMAPE based Forecast Accuracy for May 2017 (May Cycle) wMAPE based Accuracy 35% (as opposed to Hit/Miss
based 66%)
Baseline: Lag 1 wMAPE based Forecast Accuracy for May 2017 (Apr Cycle) wMAPE based Accuracy 35% (as opposed to Hit/Miss
based 56%)
Demand Planning Pilot using SAP IBP: Watch Dabur International SCM Head present the case study here

14. 15© 2018 GitaCloud, Inc. All Rights Reserved.
Next Steps
How can GitaCloud help?
Rapid Value Assessment (IBP
Process / Tool Audit)
Stakeholder Mobilization
(Executive Bootcamp)
Solution Architecture &
Transformation Roadmap
Detailed Requirements &
Implementation Plans
SAP IBP Pilot / POC
IBP Tool Evaluation
Facilitation
Data-driven Business Case
IBP Academy
(Rapid Learning with
IBP Team Bootcamp)
Value Tracking &
Benchmarking

15. 16© 2018 GitaCloud, Inc. All Rights Reserved.
Next Steps
How to Start: Analyze Current Decision Making Processes
Analyze Decision Making
Align with Executives on
Value Discovery
Value Assessment &
Benchmarking
Design Thinking for Value:
Prioritize Use Cases
SAP IBP Pilot / POC
Transformation Value Case:
Data Driven

16. 17© 2018 GitaCloud, Inc. All Rights Reserved.
Next Steps
Sample: Capabilities Roadmap
Statistical
Forecasting
Automation
Demand Analytics: ABC Segmentation, Forecast
Accuracy / Bias / Fidelity / Forecast Value-Add
SAP ERP or
S/4 HANA
S&OP Process
Management
SAP JAM
Internal
Collaboration
SAP Cloud Platform
Integration CPITime Series
Planning Data
(Outbound)
Sales
Forecasting
Demand
Modeling
Marketing
Forecasting
Demand
Sensing
Consensus
Demand
Planning
SAP IBP
Demand
SAP ERP,
Other Legacy
Tools
SAP Smart Data
Integration SDIMaster Data
(Inbound)
Order Level
Transaction Data
(Inbound)
Order Level
Planning Data
(Outbound)
Multi-Stage
Inventory
Optimization
SAP IBP for Inventory or equivalent
Or Inventory Optimization as a Service
Service Level
Optimization
Distributor
Mgt System
Transport
Mgt System
Trade
Promoti
ons
Alerts & Case
Management
SAP Supply Chain Control Tower
Performance
Dashboards
SAP IBP
S&OP
External Collaboration
with Web Based
Planning
What-if
S&OP
Scenarios
Alerts & Integrated
Reconciliation
Demand/Supply/Finance
Executive
Review
Demand Signal Repository: SAP
DSiM or equivalent
Or Demand Signals as a Service
Primary Sales, Secondary Sales, Tertiary Sales, POS
for MT, Distributor Stocks, Promotions, Extrinsic
Variables, Products, Customers, Price, etc.
Master Data
(Inbound)
Time Series Level
Transaction Data
(Inbound)
S/4 Production
Scheduling
Or Best of Breed
Scheduling Software
Production
Planning
Detailed
Scheduling
Publish
Schedule to ERP
for Execution
SAP IBP Response
& Supply
Finite Supply Planning
with Time Series
Supply Optimizer
Infinite Supply
Planning with Time
Series Supply Heuristic
Deployment
Planning
Constrained Supply
Planning Run with
IBP Response
Confirmation
Run
Gating Factor
Analysis
Supply
MDM
Allocation
Planning
Interim State End State

17. 18© 2018 GitaCloud, Inc. All Rights Reserved.
Next Steps
Sample: Solution Architecture
IBP S&OP
Demand IBP Supply
Production
Scheduling
IBP Response
Finite Capacity,
Infinite Material
FCIM Supply Run
IBP Web based Planning
Supplier Collaboration
Finite Capacity,
Finite Material
FCFM Supply Run
(Unconstrained)
Consensus Demand Plan
Detailed Scheduling
Run
Scheduling Master
Data Model
Confirmation
Run
SAP ERP
Shipment History
Supply Master
Data Model
MDM
Sales Person
Forecast
Sales Manager
Review
Demand Planner
Review
Planned
Orders
Production
Orders
Demand, Response & Supply Master Data:
• Material Master: FG, SFG, RM
• BOM
• Routing
CRM
Sales Opportunities
Contracts
Orders
PLM
Product Master
BOM
Cost
Sales
Orders
Updated
GitaCloud
Forecasting
Service
Statistical
Forecast
Response
Master Data
Model MDM
Constrained
Supply Response
IBP Add-
On, CPI
Master
Data
Supply :
TS Data
Demand:
TS Data
IBP
Add-On,
SDI
Master
Data
Response:
Order Based
Data
Pegged
Production
Plan
Stock

18. 19© 2018 GitaCloud, Inc. All Rights Reserved.
Ashutosh Bansal
President & CEO, GitaCloud
+1 925-519-5965, +91 97172-30488
6200 Stoneridge Mall Road, 3rd Floor, Pleasanton, CA 94588, USA
ashutosh@gitacloud.com
www.GitaCloud.com