Learn Demand Planning Software, Its Advantages and CapabilitiesÂ
Recently disruptions in supply chain management have become the new normal. Businesses are constantly finding the most effective tactics to stay ahead of all the escalating complexities in future demand and smartly respond to new and unforeseen challenges. Merging supply and demand, as challenging as it may seem, is vital to stay ahead of increasing supply chain uncertainties. The key step is to level up your game with the demand planning software to continuously evolve your planning maturity.
Today, businesses require more agility and resilience to cope with rapid changes and accurately sense, analyze, and plan demand. By further developing your demand planning and forecasting capabilities, you will be able to keep up with the existing fast-changing landscape. So what exactly can you do to enhance your demand planning and efficiently respond to the current challenging environment?
Letâs start by moving conventional demand planning, developing from essential tools to more advanced capabilities. Next, evolving to value-driven planning and transforming demand planning into a competitive advantage. Thereâs so much opportunity and more you can do to increase your businessâs maturity levels.
What is Forecast Maturity?
Forecast maturity is a crucial part of the demand planning process. It helps you evaluate the capability of your forecasting systems, data, resources, and operations. Assesses your planning capacity to industry standards and then derive a strategy to reach improvised capabilities. By increasing your forecast maturity, you will be able to improve your forecast and enhance agility to mitigate risks and utilize future opportunities. Demand planning software empowers you to plan your strategy to make better decisions efficiently.
What are the Forecast Maturity Levels?
There are no specific rules for maturity terminology or definitions Any particular business or procedure doesnât fall swiftly into one level or another. Still, you can use the capability measures below as general guidelines to help evaluate how far you are from the ideal planning state.
Modest: little planning awareness and low maturity are the key indicators of this level. Forecasts are developed in spreadsheets using basic and manual methods. Historical data or information is not accurate, integrated, or timely. Many business owners use this method as a side task. Demand planners are not directly in touch with different siloed departments. Forecasting is a very time-consuming, daunting, considered a tedious task. With demand forecasting software fused to your business, you can automate this process and get complete visibility of your future demands.
Improved: This level involves growing planning awareness and average maturity. Enterprise systems with planning modules already built in to create forecasts using historical data with the help of time-series statistical modeling, but data structures are not adequately accurate for forecasting. Planners have upgraded the system and process training is involved in the process. However, data accuracy is not improving, and the plans and forecasts are still not coming up on time. This is where demand planning software steps in and takes complete ownership of end-to-end processing to deliver accurate data at the right place and at the right time.
High: in this process, high planning awareness and elevated maturity are considered. Data is cleansed using dedicated statistical solutions and advanced functions, and KPIs are measured and reported. An integrated demand planning process is in operation where decision-makers and planners are close to evaluating internal and external factors and creating effective forecasts throughout the business. An intelligent demand management software allows you to make efficient decisions and more profits with zero waste.
Value leading: high planning awareness and innovative maturity is the trait of this process. Using leading-edge, state-of-the-art technology, high-end modeling solutions, sensing, and developing using agile parameters and horizons. Data can be structured from a single point of view. This way, anyone relevant to demand planning can access the information with few clicks, reducing time wastage and improving visibility. Demand management software empowers you to see the âwhat ifâ scenarios to plan better for the future.
How can You Improve Forecast Maturity?
Every business situation has different needs, and some will have rigid limitations that prevent an element from performance improvements, while others will have a clear opportunity to utilize the situation for their benefit. Use the maturity benchmark to determine where you stand with your process, data, and demand planning systems, where you would like to be, and what you want to carry out in the future. Define a strategy and plan accordingly to improve and reach the advanced forecasting state.
Knowing your current maturity level enables you to consider future expectations and compare them with your competitors and possible scopes. Understanding your capability level allows you to create an improved strategy. Create a road map on how to drive improvements that focus on delivering value.
Donât forget to re-evaluate your maturity levels regularly. Planning is not a static process. As your business grows, so do your planning capabilities. Improper maturity will create challenges, and retrieving maturity growth can be difficult to withhold without the right strategy.
Using Avercastâs Demand Planning Software, you can resolve your forecasting maturity dilemmas. With its advanced 250+ algorithms, Avercast demand planning tools are flexible, accurate, and easy to interpret. Our solutions are adaptable and expandable. With our technologically backed dashboard working side by side with you, reaching innovative forecasting methods from lower to advanced maturity levels is effortless to achieve.
