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Demand Forecasting

Core Concepts

Definition

Demand forecasting is the process of estimating the future demand for a product or service.

Detailed Description

Demand forecasting involves the use of historical sales data and sales data analytics to predict consumer demand. Accurate demand forecasting helps companies make informed decisions about production, staffing, inventory, and marketing strategies. In an ERP system, demand forecasting integrates multiple data sources and uses algorithms to provide reliable forecasts that can be leveraged across different departments to optimize operations.

Key Features

  • Advanced analytical tools and algorithms
  • Customizable reporting and dashboards
  • Data integration from multiple sources
  • Real-time data processing
  • Scenario analysis and simulation

Common Modules

Inventory Management

Module for optimizing stock levels based on demand predictions.

Sales and Operations Planning (S&OP)

Module for aligning production and inventory with demand forecasts.

Popular Implementations

XYZ Corporation Demand Forecasting Implementation

XYZ Corporation implemented a demand forecasting solution in their ERP system, leading to a 20% reduction in excess inventory and a 15% increase in order fulfillment efficiency.