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Demand Planning Solutions
Demand Planning is a significant part of supply chain management. It assists in forecasting & predicting demand based on previous trend data, statistical analysis & extrapolative intelligence. This way expected sales of a particular product or service can be formulated. Interested in knowing more about demand planning software solutions? Hence, read on to discover the power of demand planning solutions.
Benefits of demand planning software
Some of the best demand planning software out there in the market operates & relies on the principle of automation, AI (Artificial Intelligence) & ML (Machine Learning). Collectively, these digital technologies drive demand sensing & planning algorithms to detect pertinent signals.
- Product portfolio management monitors demand transition during the lifecycle of a product
- Exception handling during predictive analytics to ensure accurate forecasting
- Live demand sensing with AI to harness the full spectrum of data intelligence & its potential
- Trade promotion management with discount adverts to entice customers, driving demand
- Drives efficiency, reducing resource wastage: which saves time & money
- Higher customer satisfaction levels, which drives (or upholds existing) brand loyalty & value, especially for multichannel buying experiences
- Better resource allocation for greater customer centricity & focus, driving efficiency too with revenue maximization via location demand & supply alignment
- Reduces cost via overhead savings for cargo & transportation, as inventory can be maintained at lower levels rather than stockpiling on a contingency basis
- Reduces wastage, as many items become obsolete, are perishable or discontinued, or have an expiration date. Now inventory can be more closely controlled & monitored to avoid this disposal
- Boosts sales & productivity by minimizing inventory service failure with better-aligned demand & supply chain management
How to make demand planning successful
Here are a few pointers to propel your business with demand forecasting:
1) Be prepared for the unknown by deploying probabilistic forecasting
Instead of solely relying on a statistical gamble of luck, supply chains can become more robust during adversity by delivering better customer service & higher ROI to stakeholders. Furthermore, with planning, volatility can be mitigated via pattern sense, accounting for all probable risks (as it were). This way, every organization can be better prepared for the unexpected and respond accordingly. Such a proactive approach will only reinforce a brand’s future resilience, especially during unprecedented times.
2) Drive supply chain forecasting with ML
Deep learning is imperative for gauging the effect that various factors (including seasonality, demand, geopolitical, demographic, or economic) have on supply chain management. This augments planning & forecasting by creating frameworks considering predicted outcomes. Trendsetting & exception handling can also assist the process, as can extracting AI-based actionable insights. Now data intelligence-driven outputs will drive productivity. Now digital transformation models are spearheading the entire supply chain process, offering unparalleled accuracy & dependability in terms of results.
3) Automation methods in demand forecasting
Inferences can be made using informed decisions, performance can be gauged & trends calculated – all with automation. This expedites processes, reinforces accuracy & is also more secure. Intelligent workflows can now identify patterns at speed, scale such operations & save human effort with repetitive tasks.
4) Intermittent demand can be served by master supply chain forecasting
Consumers seek various product lines, creating gaps in demand & slowing inventory liquidity. The trick here is to accurately & reliably model high & low demand items. This then helps to predict how to respond to unexpected surges or drops in demand. Here efficiency is boosted, as is data connectivity, as well as accountability.
The future of demand planning in supply chains
As if those mentioned above were not enough, there is even more! Demand planning is expected to extend to other industries & concepts too. These include monitoring attendance in educational institutions (and then adjusting teaching resources accordingly), manufacturing components for automobiles & even the semiconductor chip industry. With these elements in mind, many supply activities can be planned, forecasted & even deployed in advance. This will ultimately drive efficiency & create robustness within every industry. The problem is – how many organizations are willing to adopt this evolving strategy? Only time will tell; however, given the evident success, it seems a promising trend.
Demand Planning will continue to drive supply chain management with stellar performance over the foreseeable future. Now the transportation & logistics industries and manufacturers will all be able to synergize & synchronize their efforts. This new unison will also boost efficiency, customer satisfaction, revenue and ROI.
All we need to do is be mindful of where to apply demand planning for optimal enhancement (rather than when – as time is of the essence!) Say goodbye to conventional inefficiencies with existing infrastructure wherein inventory management systems are siloed, disconnected & often reflect out-of-date information. Welcome to a new world filled with live actionable insights, accurate stock levels & the ability to connect to other stakeholders within seconds—finally – a much-needed sigh of relief from everyone, from end consumers to producers.