Collaborative Planning, Forecasting, and Replenishment (CPFR^®) is a supply chain practice that most leading international retailers and manufacturers have recently adopted. Through CPFR^® collaborative commerce, both sellers and buyers have dramatically reduced out-of-stocks, increased sales, lowered operating costs, reduced inventory and improved cash flow.

CPFR^® Guidelines are developed by the United State Voluntary Interindustry Commerce Standards Association (VICS) CPFR^® committee, which is composed of retailers, manufacturers and IT solution providers. Since the CPFR^® Guidelines were first published in 1998, hundreds of the largest, most well-known companies (Wal-Mart, HP, Johnson & Johnson, etc) have implemented the CPFR^® processes into their business and collaborated with their supply chain trading partners. The VICS CPFR^® committee also formed a sub-committee to focus on the development of CPFR^® tools, key implementation processes, Key Performance Indicators (KPI) based on multi-industry best practices.