Chapter 7The Demand Planning Brief

The next generation demand management process is more than just creating an accurate demand forecast. It is a business analytics function embedded downstream in the sales and marketing organization, providing analytics support to drive demand generation. As such, demand analysts working closely with sales and marketing provide predictive analytics support to validate and justify sales tactics and marketing strategies that drive the final demand response. Demand-driven is more than just being responsive, it is about being interactive with the goal of optimizing market investment (spend) in support of the unconstrained demand forecast.

The challenge for supply chain executives is to gain commitment from sales and marketing through improved processes, metrics, and technologies, while addressing the question, “What's in it for sales and marketing?” It's a journey, with a series of steps required to encourage sales and marketing to take ownership, and more importantly, accountability. Although sales plays a significant role in providing inputs, it is marketing that influences demand, and that has a direct impact on the unconstrained demand forecast. The best way for an organization to build trust and accountability is by providing proven analytical support and becoming a trusted adviser to the commercial organization. Embracing downstream data, learning how to provide valued insights through predictive analytics, and most of all, collaborating in ...

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