Of all business factors, accurate forecasts have the greatest impact on an organization’s ability to satisfy customers and manage resources cost effectively. A forecast is not simply a projection of future business; it is a request for product and resources that ultimately impacts almost every business decision the company makes across sales, finance, production management, logistics and marketing. Typically, a variety of forecasting methods are applicable to any particular type of supply chain scenario. Smart supply chain planners use multiple methods tuned to perform well at different phases of the product life cycle, chosen to best exploit the available historical data and degree of market knowledge.
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