7. Achieving Demand and Supply Integration

By Mark A. Moon1

One of the companies that participated in some of the DSI/Forecasting Audit research at the University of Tennessee was a company in the apparel industry. This company, a manufacturer and marketer of branded casual clothing, had very large retail customers that contributed a large percentage of overall revenue. Understandably, it was very important to the success of this company that these large retail customers are kept in stock. If these retailers’ orders could not be filled, out-of-stock conditions would result, with not only lost sales as the consequence, but potential financial penalties for failure to satisfy these retailers’ stringent fill-rate expectations.

As was the case for ...

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