Using Demand Drivers for a Collaborative Forecasting Success

USING DEMAND DRIVERS FOR A COLLABORATIVE FORECASTING SUCCESS By Naresh Sadarangani and John A. Gallucci By using account specific demand drivers, your Sales Teams can forecast easily and more accurately … sales Management will be more receptive to forecasting if they see the dollarized amount of savings resulting from accurate forecasts … trust between the Sales and the forecaster is the key to the success of a forecasting function. The objective of forecasting is to bring a broad perspective to decision-making, given the uncertain environment surrounding sales. Forecasting is an integral part of the Supply Chain Management, and companies need a forecasting process that provides effective and timely communication from all facets of the business. Every company would like to have an “accurate” forecast. However, given the dynamic nature of sales, there is no “accurate” forecast. With the help of an Advanced Planning Tool, and with effective communication amongst the Supply Chain Management department and Sales, companies can have the most effective forecasts. As business-forecasting processes continue to be refined, more emphasis than ever is placed on Collaborative ...