Responsive Forecasting And Planning Process In The High-tech Industry

RESPONSIVE FORECASTING AND PLANNING PROCESS IN THE HIGH-TECH INDUSTRY By Freek Aertsen and Edward Versteijnen The forecasting and planning process in the electronics industry requires special attention because of its cyclical demand pattern, shorter life cycle, and unreliable forecast-related information … for an effective process, information transparency, speed, and efficiency are the key … to improve efficiency, companies should concentrate only on those items that are high value drivers. Forecasting and planning are an important part of any business process, and are regarded by practitioners and academics as key to an efficient supply chain management. Over the last decade, companies are working feverishly to improve their forecasting and planning process. According to a recent Aberdeen survey, 70% of the companies are actively engaged in enhancing their existing sales and operations planning capabilities. In the high-tech electronics industry, planning and forecasting are extremely challenging. Here the market is characterized by cyclical demand patterns with a high level of uncertainty, shorter product life cycles, prices under constant pressure, changing distribution ...