Terra Technology Unveils Inventory Optimization Solution; Real-Time Inventory (RTI) Decreases...

NORWALK, Conn. -- Terra Technology (www.terratechnology.com), the leading provider of Real-Time Forecasting (RTF) solutions, today announced the immediate availability of Real-Time Inventory (RTI), a feature-rich inventory optimization solution that enables consumer products companies to set inventory

Unlike other inventory optimization solutions, RTI measures actual forecast error over actual lead-time to determine inventory requirements, not estimates derived from weekly or monthly measurements. Using actual error rather than derived estimates significantly improves results.

"Inventory optimization is more than hype," writes Lora Cecere, Research Director, AMR Research, in The AMR Research Report, "Inventory Optimization: Stop the Math Holy Wars." "The use of probabilistic optimization techniques to identify demand and supply variability, and the use of this analysis to make better decisions on inventory policy and strategy, can really improve the top line and service performance."

Key Features of Real-Time Inventory:

--Full integration with other systems minimizes data entry and maintenance work

--Updates inventory targets every day based on actual demand, not once a quarter

--Understands the differences between manufactured and sourced SKU's, including lead-time flexibility, schedule compliance and transportation variability

--Differentiates service levels based on SKU characteristics, seasonality and lifecycle

"Typical inventory for consumer products companies is 74 days while out-of-stocks range from six to 12 percent," said Robert F. Byrne, Terra's president and CEO. "That means that manufacturers are holding more than two months of inventory and still the right products are not on the store shelves at the right time. RTI solves this dilemma, enabling consumer products companies to lower inventory holding costs, improve customer service levels and increase profits at the same time."

Availability

Real-Time Inventory is now available direct from Terra Technology. For more information, call 203-847-4007 x108 or visit the RTI product section online at www.terratechnology.com/Real-Time_Inventory.

About Terra Technology

Terra Technology is the leading provider of Real-Time Forecasting and Inventory solutions for consumer goods companies. Terra's pattern recognition technology works with traditional demand planning systems to monitor daily demand signals and reduce near-term forecast error by 50 percent. More accurate forecasts and inventory targets improve customer service, lower inventory, decrease unplanned changeovers and reduce costs. Headquartered in Norwalk, CT, Terra's customers include Campbell Soup, Georgia-Pacific, McCain Foods and Ventura Foods. For more information, please visit www.terratechnology.com or call 203-847-4007.