If one is going to forecast demand into the future, it would make sense to get as true a picture as possible. For that, starting with historical demand would be the obvious choice. Choosing this data as the basis for forecasting would ensure the best possible projection out in the future.
Having a good forecast is essential to demand planning. It ensures the right goods are produced at the right time and reach the right customers. What’s more is that demand planning is situated at the start of your supply chain, playing an integral part in a streamlined supply chain.
Subscribe and save makes planning easier. Consistent demand means less fluctuation in order volume, which makes forecasting, inventory management and scheduling more predictable.
Arkieva prides itself on providing some of the best in supply chain thought leadership. Over 300,000 individuals read our blog articles in 2021. The volatile nature of the supply chain today drove our readers to educate themselves on practical actions they can take to remain competitive.
We are excited to announce that we are rebranding Arkieva to fuel growth, strengthen our position in the market, and continue to be a recognized leader in the supply chain industry. Over the past few years, we have been relentlessly focused on solving the most complex planning challenges through simple, intuitive, end-to-end solutions leveraging our best-in-class data scientists, software developers, and supply chain optimization consultants.
These “key tools” balance a need for simple with a need to handle the complexity of SCM – following the IBM adage – complexity exists whether you ignore it or not, best not to ignore it.
One of the many ways to improve the forecast is to forecast using a pyramid process, starting at the base, then forecasts the subsequent levels moving upwards. The objective of using the pyramid forecast process is to use the less detailed portions of the pyramid to improve the base level forecast of the pyramid.
Our focus in this blog series has been to establish forecast accuracy targets. In very general terms, the goal should be to add value to the business through the forecasting process. We have however focused on the forecast value add and using that to create a minimum acceptable forecast accuracy target in the previous blog. Now we will take that a step further and talk of ways of improving it.
We have all seen it in the news. Covid-19 outbreaks, labor shortages at the port as well as in trucking, and port delays coupled with high demand from consumers are causing major supply chain issues. Shipping containers are in short supply, or perhaps a better way to say it is that they are waiting to be unloaded or loaded resulting in a shortage. In this blog, let us try to enlist some possible future impacts of this situation. Let us look at it from the perspectives of the different players in the supply chain.
Everyone is talking about supply chains these days. Ever worsening weather, a global pandemic, and a labor shortage have generated a perfect storm that has pushed global supply chains to their breaking point. I propose that the problem has been building for some time and this perfect storm may just be the reset we need.