Arizona-based Blue Yonder is helping Dutch brewing giant Heineken transform its supply chain planning capability.

The global brewer will implement Blue Yonder’s cognitive demand planning cloud-native, microservices-based SaaS, that uses artificial intelligence (AI) and machine learning (ML) to improve forecast accuracy and reduce bias by considering dynamic external and internal variables.

Heineken has been implementing Blue Yonder technology for years unlocking value for its business, especially with the potential to improve forecast accuracy through ML demand forecasting solution. It has now selected Blue Yonder to future proof its demand planning process and leverage AI and ML, autonomous scenario planning, planning process orchestration,and extensibility.

“We want to continuously improve our supply chain processes and adopting Blue Yonder cognitive demand planning is an important step in that ambition,” said Corneel Hindriks from Heineken. “Working together with Blue Yonder will support us in our ambition to become the best-connected brewer and foster functional excellence in demand planning, leading to improved customer experience. And with the right supply response it could generate a positive impact on our sustainability targets as well, for example by reduced write-offs and less goods movements.”

Once it is implemented, Heineken (www.heineken.com) expects to make more informed, data-driven decisions. It should get all the real-world and business data it needs in a unified data cloud and integrate all planning processes to make better decisions, with speed and scale.

The brewer hopes to combine the best output from statistical forecasting and extensible ML to deliver higher forecast accuracy and reduce bias. This will compress the planning cycle and empower planners to drive strategy and respond in the moment, not on a fixed schedule. It aims to build, test and confidently deploy customised and extended ML models, workflows, personalised user experiences, and business logic at production scale with little effort.

Consumer goods companies are encountering difficulties due to fluctuations in demand caused by inflation, supply chain disruptions, evolving consumer habits and a growing demand for more sustainable products and processes. These industry dynamics pose a significant problem for conventional forecasting methods.

Blue Yonder’s cognitive demand planning (blueyonder.com/knowledge-center/collateral/cognitive-demand-planning), which sits on Microsoft Azure, addresses this with AI-based capabilities, transforming the way companies around the world collaborate, predict, plan and make decisions.

“We are proud to bring our contribution as supply chain management leaders in supporting Heineken’s mission to become the best-connected brewer,” said Terry Turner, president of manufacturing at Blue Yonder (blueyonder.com). “Blue Yonder helps a brewer like Heineken to adapt to new external dynamics and changing market conditions, ensuring their supply chains remain agile, sustainable and competitive. Thanks to Blue Yonder cognitive demand planning, Heineken can optimise its supply chain and ensure that customers can always enjoy their preferred beers and beyond all over the world.”