SGC Services
  Discontinued product must be separated from Damaged and Outdated product in the supply chain failure discussion.  A separate solution is required for each issue.
           
 

Discontinued Product Index

   

Discontinued product (Disco) activity has expanded by 50% over the last five years due to the proliferation of new product introductions and the introduction of “open code dates” for most products. 

The removal of Discos from the Supply Chain Failure Rate (SCFR) provides PCI subscribers with an understanding of the extent of the Disco challenge in addition to the Damaged an Outdated issue.

DPI is the first tool in the industry to compare “Disco” activity within all categories for all UPC codes.  Discontinued Product Index gives visibility to when product purchases stop.  Users can set “rules” to quantify Discos based on the “Stop Purchase” date.

Discontinued Product Index applications:

  • Allows subscribers to segregate failures in the supply chain due to Discos and failures due to Damaged or Outdated product
  • Provides a basis to establish a robust “Disco Mark Down Policy”
  • Calculates the percentage of Discos in the ARP $ Gap
  • Compares competitive Disco performance
  • Provides valuable data points to assist in SKU rationalization efforts