Developing a solid business case for improving demand planning is helpful in several ways. At a minimum, it is useful for financial planning and budgeting. More importantly, it stimulates stakeholders to understand the business levers that demand planning impacts.
Understanding the value of an effective demand planning process is also enlightening to decision-makers. They learn how decisions are linked (or not linked) to the demand plan today – and the impact of that linkage on business and financial performance. They realise how low expectations for demand planning causes the entire business to struggle to profitably serve customers.
The need to improve demand plan performance is not just something to whine about. It becomes a business imperative.
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