Demand-Driven Forecasting: A Structured Approach to Forecasting, 2nd Edition

Preface

The global marketplace continues to be volatile, fragmented, and dynamic. Supply processes continue to mature faster than demand. As a result, there is a larger gap to fill in the redefinition of demand forecasting processes to become demand driven than in any other area of the supply chain. This redefinition of demand forecasting will require new data (downstream point-of-sales [POS] data), processes, analytics, and enabling technologies. To become demand driven, companies need to identify the right market signals, build demand-sensing capabilities, define demand-shaping processes, and effectively translate demand signals to create a more effective response.

The second edition of the book focuses on the continued evolution of demand-driven forecasting and addresses the challenges companies are experiencing with demand. Those challenges are making it more difficult to get demand right than to get supply right. Talent continues to be scarce, making it difficult to invest in enabling technologies to support the evolving demand forecasting process. Organizationally, the work on demand forecasting processes is fraught with political issues. This makes it more politically charged than supply processes. As a result, many companies often want to throw in the towel. They want to forget about demand and focus only on the redesign of supply processes to become more reliable, resilient, and agile. The list of possible projects is long and often includes lean manufacturing, cycle ...