AB InBev's Journey with o9: Transforming Supply Chain Planning

With a career spanning nearly three decades, Elito Siqueira, Chief Supply Chain & Distribution Co. Officer North America at AB InBev has witnessed firsthand the evolution of a global supply chain amid rapid growth and complex mergers and acquisitions. Beginning in Brazil, moving through Asia, and eventually settling in the United States, his leadership journey has paralleled AB InBev's transformation into one of the world's largest beverage companies.

AB InBev's growth strategy, driven by extensive M&A activity, introduced a wide array of systems, practices, and operational models. With more than 100,000 suppliers, 270+ plants and breweries, 600 distribution centers, and over 500 brands, the challenge became clear: how to integrate and orchestrate this vast ecosystem efficiently and effectively.

A Strategic Pivot: Reinventing Supply Chain Planning

Recognizing the need for a fundamental transformation, AB InBev undertook a strategic review of its global supply chain. One key insight emerged early: planning was the foundational pillar that required modernization. This realization led to the partnership with o9 Solutions nearly five years ago, initiating a journey to elevate integration across supply chain functions and stakeholders.

The transformation wasn’t solely about deploying new technology. It required a simultaneous focus on processes and people. AB InBev invested heavily in upskilling its workforce and refining operational processes to ensure the new planning tools could be leveraged to their fullest potential. This holistic approach laid the groundwork for successful implementation and tangible outcomes.

Operational Focus and Expansion

AB InBev initially prioritized operational and tactical improvements. Using o9, they rolled out capabilities such as demand planning, supply network planning, materials planning, multi-echelon inventory optimization (MEIO), and reverse logistics. These enhancements enabled more precise, short- and medium-term planning across various geographies.

Starting with pilot countries, the deployment has now reached ten nations, representing 75 percent of the company’s global volume. By year-end, AB InBev aims to extend this coverage to 85 percent. The outcomes have been substantial. Inventory levels have decreased by 20 percent, forecast accuracy improved by more than 11 percentage points to 87 percent, and service levels have reached 99.5 percent in the U.S., with out-of-stocks dropping below 0.5 percent.

These improvements underscore the scalability and repeatability of the planning transformation. The company has established a proven blueprint for integrating tools, processes, and training across diverse operating contexts. This model is now being adapted and rolled out to more countries and regions, reinforcing the global impact of the initiative.

Driving Value Through Balance and Precision

One of the most compelling results has been the ability to achieve a balanced improvement across cost, cash, and service. Traditionally, gains in one area have come at the expense of another. AB InBev, however, has managed to optimize all three simultaneously by reinforcing its planning processes and leveraging advanced digital tools.

A central KPI in this journey has been "touchless planning" — the ability of systems to generate plans that require minimal human intervention. For instance, 85 percent of demand plans in the U.S. are now touchless, streamlining downstream processes from production allocation to supplier coordination. This precision reduces volatility, frees up planners to focus on true exceptions, and enhances end-to-end supply chain performance.

Touchless planning has also led to improvements in planner satisfaction. With fewer manual adjustments required, planners can shift their focus from transactional tasks to strategic problem-solving and scenario modeling. This shift enhances both job satisfaction and the overall agility of the supply chain function.

Collaborative Partnership and Organizational Alignment

A critical success factor has been the collaborative approach between AB InBev and o9. From the outset, both organizations aligned on strategy, priorities, and potential challenges. Joint development efforts and active SME involvement from both sides ensured that the implementation was not just a technology deployment but a co-created transformation.

This collaboration is measured regularly through Net Promoter Score (NPS) evaluations. Last year, AB InBev achieved an NPS of 40 with o9, reflecting growing satisfaction among planners and continuous improvements in user experience and outcomes. The openness to feedback and willingness to iterate solutions together has built a strong foundation of trust.

Shaping the Future: Learnings and Next Steps

AB InBev's experience has highlighted several key learnings. First, having the right talent is non-negotiable. As planning tools grow more sophisticated, expertise and rigorous process discipline become critical. The company has prioritized training and certification programs to ensure planners can operate at a high level within the new digital ecosystem.

Second, the interconnectedness of modern planning systems requires strict adherence to service-level agreements (SLAs) across functions. With end-to-end connectivity comes the need for synchronized execution, where a delay or error in one area can ripple across the value chain.

The obsession with touchless planning has proven invaluable. Reducing manual interventions enables better use of talent and allows teams to focus on genuine disruptions that require human judgment. Scenario planning has also emerged as a vital capability, offering greater flexibility and preparedness in a volatile business environment.

These lessons have not only improved current operations but are shaping the future roadmap. AB InBev continues to refine its planning strategies, incorporating feedback and performance data to drive iterative improvements.

Embracing Innovation: The Role of Generative AI

Looking ahead, AB InBev is focusing on three innovation priorities: Generative AI, Integrated Business Planning (IBP), and advanced scheduling.

Generative AI is being explored across three tiers. First, as a training aid to onboard and upskill planners more effectively. These AI-driven tools can summarize complex planning scenarios, accelerating learning curves and improving accessibility.

Second, Generative AI is being piloted to explain planning decisions. When demand shifts or deployment plans change, understanding the cascade of impacts across costs, service, and inventory requires deep analysis. AI can help synthesize these insights, offering planners a clearer view of root causes and consequences.

Third, AB InBev envisions AI-enabled agents that can suggest improvements to plans in real time. This capability, while still emerging, represents a frontier where human planners collaborate with intelligent systems to continuously optimize performance.

IBP is another area of active focus. While AB InBev has a mature Sales and Operations Planning (S&OP) process, the company sees additional value in advancing toward fully integrated business planning. This will allow tighter alignment between financial goals, commercial strategies, and operational capabilities.

Scheduling remains a complex challenge, particularly for beverage production where packaging, liquid formulation, and supplier coordination must align. Enhancing scheduling tools to integrate these elements will further improve agility and responsiveness.

Conclusion: A Model for Sustainable Transformation

AB InBev’s transformation journey demonstrates what is possible when strategy, technology, and execution align. By focusing on planning excellence, embedding a culture of collaboration, and embracing innovation, the company has laid a strong foundation for sustained performance.

For organizations navigating similar complexity, the lessons are clear: invest in people, simplify processes, partner with the right technology providers, and measure what matters. With touchless planning, scenario-based agility, and AI-driven insights, AB InBev offers a compelling roadmap for the future of supply chain management.

The journey continues, but the direction is set: a smarter, more connected, and resilient supply chain built on the pillars of precision, partnership, and performance.

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