Case Study: Getting Started with PoluSim

In 2024, a leading fast-moving consumer goods company with global operations partnered with Tellusant to revolutionize its forecasting capabilities.

INTRODUCTION

This case study outlines the comprehensive and data-driven approach taken by Tellusant to implement PoluSim, our advanced strategic forecasting tool, and the remarkable outcomes achieved.

CHALLENGES IN FORECASTING

The client faced several challenges with its existing forecasting processes:

• Forecasting was conducted inconsistently across business units, with varying methods, granularity, and reliability.
• Syndicated data providers made predictions without considering the total category growth.
• Many forecasting drivers were fine-tuned by specialists but lacked a scientific basis.
• Inconsistent methods across business units led to fragmented insights and inefficiencies.

The client aimed to establish a unified forecasting process that could be trusted and utilized across the entire organization, driven by the CEO’s vision for strategic forecasting excellence.

TELLUSANT’S STRATEGIC FORECASTING PROCESS

Tellusant employed a meticulous four-phase approach to address the client’s challenges and implement PoluSim:

1. Establish Facts

Tellusant combined external sources with the client’s data to build a single version of the truth. This process often revealed discrepancies exceeding 10%, which were harmonized to ensure accuracy.

2. Understand Drivers

Potential demand drivers were evaluated, and a list of proven drivers was compiled. The interaction and influence of these drivers on future demand were measured.

3. Develop Strategic Forecasts

Incorporating the identified drivers, Tellusant built forecasts using PoluSim. Alternative scenarios were developed and refined to account for various market conditions and consumer trends.

4. Implement PoluSim

The implementation process for PoluSim was rigorous and involved several key steps:

• A consistent method for evaluating strategic forecasts was established, and a knowledge center for continuous improvement was set up.
• Product Subscription and Support: The client subscribed to PoluSim and received ongoing support from Tellusant.
• Training: Team members were trained to run scenarios consistently using PoluSim.
• Integration: The tool was installed and integrated over six months, with access provided to 1-2 team members per business unit and headquarters functions.

PoluSim allowed the client to continuously update insights and build scenarios for alternative and unforeseen shifts. The tool served as a hub for data-driven decision-making, with insights tied to templates for use within presentations.

RESULTS AND IMPACT

The implementation of PoluSim yielded significant benefits for the client:

• Data Accuracy: Discrepancies ranging from 5-10% inaccuracy were corrected, significantly improving data accuracy.
• Efficiency: The time required to build forecasts for strategic planning was reduced by 75%.
• Forecast Accuracy: Accuracy of forecasts increased by 50%, providing a more reliable basis for strategic decisions.
• Strategic Initiatives: New strategic initiatives were launched due to enhanced access to information and insights within PoluSim.

The client gained the ability to understand future market trends, explain their causes, and make rational adjustments in forecasts based on market factors and strategic decisions. The transparency in adjustments increased the believability of forecasts, and the consistency across business units drove comparability and effectiveness for leadership.

CONCLUSION

The successful implementation of PoluSim by Tellusant transformed the client’s forecasting capabilities, addressing longstanding challenges and delivering substantial improvements in accuracy, efficiency, and strategic insight.

PoluSim’s flexibility and data-driven approach enabled the client to make informed decisions, driving the company’s future growth and success.