Automobile Industries constantly face challenges of production stoppages resulting in huge losses. This is often due to supply issues resulting in non-availability of material at the right time, in-full and at the right location. The demand variability from the customer’s downstream processes causes several planning issues to the supplier that often leads to decline in customer service levels, lower efficiency and higher costs. This paper will address inter-firm planning process that facilitate material suppliers to manage demand variability and subsequently increase productivity in an end-end value chain planning process using supply chain segmentation principles.