Posted in Retail Operations

“Crunching Numbers for Cramped Corners: Estimating On-Shelf Availability of CPG Products at Nanostores in India”

Comments: 10 Comments on “Crunching Numbers for Cramped Corners: Estimating On-Shelf Availability of CPG Products at Nanostores in India”

Authors:
Stephanie Gomez, Matthias Eder
MIT Supply Chain Management Program

44

Summary:
Our sponsor, a multinational CPG company, does not have visibility over the On-Shelf Availability (OSA) of their products in nanostores, this is a problem because they cannot predict stock-out events or guarantee the availability (and corresponding sales) of their products. Particularly in India the sponsoring company serves approximately 2.4 million nanostores. To deal with this problem we will elaborate a model that estimates consumer demand and stores’ inventory, with the limited data the company has from distributors, to calculate stock-out probabilities and approximate OSA at nanostores. The expected outcome is to improve visibility over OSA of the company’s products in each nanostore in India as well as suggest actions to improve OSA.

Click to expand in new tab

10 thoughts on ““Crunching Numbers for Cramped Corners: Estimating On-Shelf Availability of CPG Products at Nanostores in India””

  8. A very interesting approach to the problem faced by large manufacturers of mass-use products in obtaining data that allows them to predict the flow of their products in the so-called nano stores.
    MIT students develop very useful tools in situations like this. Surely the results will be of great practical use

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *