Rethink demand management
Lora Cecere at AMR Research has written an article (paid subscription required) entitled “Rethink demand management” talking about the challenges organizations have dealing with demand changes.
In it, she says “Supply chain planning demand management technologies and processes were built to predict future demand on normal demand patterns, but they are a poor fit for random or erratic demand patterns.”
This is a sweet spot for us and the way virtually all of our customers utilize our software. I heard a presenter recently say that forecasts are one of two things - lucky or wrong. All of our customers work to have a good forecast, but they also realize that it will never be completely accurate. So, they have to be really good at dealing with it when it’s wrong, or when it changes since frequently order drop-ins and changes happen after the forecast.
