Demand Forecasting & Planning
Regardless of your manufacturing model, you need to know -- accurately and quickly -- what your customers want. Forecast too low and you'll have shortages and lost sales. But predict a high demand that doesn't materialize and you're stuck with excess inventory, idle lines, and damaging write-offs. Forecast accuracy is determined by input from internal and external stakeholders, along with historical demand-trend data.
Are these some of the issues you’re tackling today?
Lack of channel visibility and sell-through data forces me to guess what the market wants
Too many forecast opinions and not enough facts make it hard to keep track of all of the assumptions we make
Market promotions, sales spiffs, and manufacturing overruns confuse the demand picture
IT Researches provides solutions that help you better understand customer buying behaviour and optimize global inventory levels to meet customer demand. We apply customer insight data, segmentation and loyalty information and overlay it with predicted demand and inventory needs. Our demand forecasting solutions integrate with merchandising, supply chain, inventory and replenishment to give you the most accurate real-time information in time to make the most strategic and profitable decisions.
You can achieve the following benefits in less than 30 days:
- Greatly improve reliability in product forecasts and demand plans
- Allow full collaboration between all departments involved in demand planning
- Maintain the right inventory levels by product, customer, and location
- Accurately forecast revenue and perform cost/benefit analysis
- Strengthen new/untested marketing campaigns
- Analyze profitability by channel, product, and geography
- Minimize time-to-benefit by utilizing pre-packaged business templates
IT Researches Demand Forecasting solutions, provides a complete, accurate picture of predicted customer demand as well as promotional and baseline demand. The solutions improve inventory productivity which minimizes capital expenses, reduces operational costs and raises profitability.
- Provides understanding of omni-channel customer buying behavior
- Predicts customer demand, plus promotional and baseline demand
- Enables global inventory optimization
- Integrates with merchandising, supply chain, inventory and replenishment systems
- Minimizes capital expenses, reduces operational costs, raises profitability
History Doesn’t Always Repeat Itself
Traditionally, the demand forecasting process relies heavily on historical order analysis, with the assumption that historical patterns repeat in the future. This approach—while understandable—tends to be driven by necessity, as customers and suppliers rarely have access to market information that could better inform their forecasts. Consequently, each trading partner operates on different information available to them—causing them to develop different views of the forecast.
The net results? Excess inventory and stock out risks for both suppliers and customers; suppliers unprepared for real upsides or downsides in demand; and suppliers at great risk for creating customer dissatisfaction by failing to meet supply expectations.
Implement a Fact-Based Approach to Improving Forecast Quality
IT Researches Demand Forecasting Solutions enables you to forecast by price, so you can analyse how a rate increase or decrease will affect your future demand. The solution leverages robust demand segmentation and classification functionality, enabling you to identify individual product or service demand patterns, as well as isolate historical data from the effects of promotions, seasonality or trends to set optimal pricing.
What are the benefits?
- Improved forecast accuracy
- Optimized inventory or capacity
- Ability to shape demand through optimized pricing
- Increased profitability