Gartner Research

Build Accountability From Sales to Improve Demand Forecast Accuracy

Published: 23 October 2013

ID: G00257757

Analyst(s): Steven Steutermann

Summary

Building sales accountability for the forecast is a critical element in improving forecast accuracy and setting continuous improvement targets in the CP industry. Supply chain leaders should use this research to balance inventory, cost and service objectives through improved sales forecast accuracy.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • Increasing promotional activity and new product demand is causing supply chain leaders to seek greater accountability from sales to reduce forecast error
  • A lack of demand management process maturity is a barrier for supply chain professionals in gaining the necessary sales support to enable the supply chain
  • Increased depth and frequency of trade promotions, coupled with mobile-digital consumer offers, require supply chain leaders in the CP industry to seek better, integrated TPM solutions from sales

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