Part one of this two-part series discussed how Deloittes views on algorithmic risk management generally apply in distribution pricing, and key strategies to consider in managing pricing algorithms. This article, the second and final part of the series, illustrates how some of these issues play out in real-life distribution pricing projects, and offers relevant learnings from successful pricing transformation initiatives.
This article includes:
- Signs of algorithmic risks
- Evaluating the threat
- Common reasons that pricing algorithms underperform
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