Global logistics leader C.H. Robinson has partnered with analytics powerhouse SAS to develop an innovative dynamic business planning solution designed to address the mounting challenges facing retail and consumer goods supply chains.
Addressing Industry Pain Points
The collaboration emerges as supply chains face unprecedented complexity from e-commerce growth, stringent on-time-in-full (OTIF) requirements, capacity constraints, geopolitical risks, and pandemic-induced disruptions. Traditional supply chain models struggle to adapt to rapidly shifting market demands.
Key Challenges Driving Innovation:
- E-commerce transformation: Rising consumer expectations for faster, personalized delivery and increasing return rates demand more responsive supply networks.
- OTIF pressures: Stricter fulfillment standards require precise demand forecasting, optimized inventory management, and reliable transportation networks.
- Capacity constraints: Container shortages, port congestion, and driver shortages continue to disrupt global logistics operations.
- Pandemic volatility: COVID-19 exposed supply chain vulnerabilities through sudden demand spikes, production stoppages, and logistical bottlenecks.
"Traditional supply chain approaches can't keep pace with today's market dynamics," said Chris O'Brien, Chief Commercial Officer at C.H. Robinson. "This partnership bridges the critical gap between strategic planning and operational execution."
Integrated Solution Architecture
The joint solution connects demand planning with transportation execution through four key components:
- SAS Intelligent Planning Suite: Generates accurate demand forecasts using advanced analytics and machine learning.
- Procure IQ: C.H. Robinson's dynamic transportation procurement platform that optimizes carrier selection based on real-time demand signals.
- Navisphere: Provides end-to-end supply chain visibility through C.H. Robinson's logistics management platform.
- Closed-loop feedback: Real-time transportation data flows back to SAS planning tools for continuous optimization.
Retail Sector as Primary Beneficiary
The partners have prioritized retail and consumer goods companies due to the industry's unique characteristics:
- High demand volatility and short product lifecycles
- Frequent promotional activities requiring rapid adjustments
- Pressure to maintain optimal inventory levels across omnichannel networks
"Retail's winners will be those who shift from static planning to agile, data-driven decision making," said Richard Widdowson, VP of Global Retail and CPG Solutions at SAS.
Measurable Business Outcomes
Early implementations demonstrate significant improvements across key metrics:
- 20% improvement in demand forecast accuracy
- 15% reduction in transportation costs
- 10% increase in customer satisfaction scores
The solution enables companies to reduce safety stock levels, optimize carrier mixes, and proactively address potential capacity issues before they escalate.
Future Expansion Plans
While initially focused on retail, the partners plan to extend the solution to other industries facing similar supply chain challenges. The integration represents a strategic evolution for C.H. Robinson beyond its traditional transportation management offerings.
"This completes a critical missing link in supply chain orchestration," O'Brien noted. "By connecting business planning with logistics execution, we're helping companies transform their operations for the digital age."