Many companies turn to Demand Driven MRP (DDMRP) with a clear goal in mind: to improve inventory performance, elevate service levels — or both. The value proposition is compelling, but as interest turns into action, a common question arises: Where do we begin? 

This is where uncertainty often sets in. Should we do a pilot? And if so, what purpose does it serve?

These are important questions, and addressing them early is critical. A well-designed pilot is not simply a technical trial — it’s a strategic tool to reduce risk, generate internal buy-in, and build a strong foundation for broader transformation. 

In this article, we explore why a DDMRP pilot is often the smartest way to start and what characteristics define a successful one.

A Pilot Must Reflect the Problem You’re Trying to Solve

One of our clients—an engineer-to-order manufacturer of industrial machinery—approached us with the intent to explore DDMRP. Their core challenge was clear: persistent disruptions in production flow caused by poor synchronisation of sub-component availability during final assembly. This was directly impacting on-time delivery and operational efficiency.

The team proposed to pilot DDMRP in their spare parts inventory management. But this raised a fundamental question: How does piloting DDMRP in a static environment like spare parts validate its effectiveness for synchronising a highly complex, multi-level production structure? 

The answer is simple. It doesn’t.

When the pilot does not reflect the real operational pain point, its value is inherently limited. Testing DDMRP in an environment disconnected from the core problem leads to misleading conclusions and missed opportunities to prove its true potential. 

In this case, managing a deep, 11-level Bill of Material (BOM) with volatile assembly sequencing required a very different piloting scope than managing spare parts.

Start with the Right Objective—and Test What Truly Matters

Defining a clear objective is the first step in selecting a meaningful DDMRP pilot. What exactly should the pilot demonstrate? 

If the goal is simply to prove that DDMRP can manage stock levels effectively, that’s unnecessary. We already know it can. Inventory optimisation is a baseline capability of the methodology, not the proof point that should guide pilot design.

Some consultancies recommend starting with raw materials or purchased parts because these areas are relatively easy to implement and quick to stabilise. This approach may be appropriate if the company’s primary pain point is unreliable material supply. In that case, the pilot can serve its purpose. But if the broader ambition is to implement DDMRP across the entire supply chain, such a narrow scope will leave critical questions unanswered.

For example, a raw material pilot won’t reveal how DDMRP behaves across multiple planning levels, or how it helps absorb demand variability and mitigate forecast errors. Nor will it adequately test the robustness of the chosen software platform in a more complex, end-to-end context.

A well-structured pilot must validate the scalability of the model and the capability of the software solution. The last thing a company wants is to discover, mid-rollout, that key functionalities are missing because they were never tested in the pilot.

When a Pilot May Not Be Necessary

While piloting is often the most prudent path, there are scenarios where companies choose to skip this phase and move directly into full implementation. This is more common in smaller organisations, where operations are concentrated in one or a few business lines and the cost–benefit equation for piloting becomes less compelling.

In one such case – it was one of our early DDMRP implementations – our client sponsor approached his executive with a well-prepared business case and requested approval to launch a production pilot. 

The executive responded with a direct challenge: “Are you sure about this DDMRP thing? Do you really believe it will help us?”

The sponsor replied, “Yes, absolutely.”

The executive paused and said, “Then why bother with a pilot? Just implement it across the board.”

And so they did. The decision was based on strong internal conviction, organisational simplicity, and a clear mandate to move forward.

In another instance, one of our clients who was undergoing a major SAP migration saw an opportunity to integrate DDMRP into their future system landscape using a plug-in SaaS solution. 

During a strategic discussion with them, the team outlined a pilot scope. We posed a crucial question: How do you plan to manage the planning of products outside the pilot after go-live? Will you invest heavily in building SAP planning modules just to decommission them months later during the DDMRP roll-out?

That question reframed the conversation, and the client chose to roll out DDMRP company-wide from the start. The alignment between the system transition and the DDMRP transformation made the case for full deployment stronger than for piloting.

These examples highlight that while pilots are often advisable, they are not always necessary. What matters is that the approach – pilot or full rollout – is aligned with the company’s structure, readiness, and transformation context.

Choosing the Right Path Forward

Defining the scope of a DDMRP pilot can quickly become a complex internal debate, where alignment wavers and momentum slows. Should the starting point be a single site or an entire region? Should it focus on specific materials — purchased components, intermediates, finished goods — or span end-to-end within a business unit? And should capacity buffers be included from the outset or held back for a later phase?

These are not trivial decisions. Each path has merits and trade-offs, but over-analysis can paralyse progress. The aim is not to land on the ‘perfect’ scope — it’s to choose a workable scope: one that builds confidence, generates useful insight, and creates the conditions for scale.

This is where AB Advisors can help. We bring structure to these decisions, helping teams move quickly and pragmatically from options to clarity. With deep expertise across industries and implementation scales, we guide the conversation, surface the key criteria, and help define a pilot – or a broader transformation path –  that fits your strategic context and operational reality. 

Whether you’re testing feasibility or laying the groundwork for broader change, we help you move forward with focus and purpose.

Book a free 30min call with Patrick Rigonito make the right choices from the start.