Forecast Errors Hit Wholesaler Distributors and Big-Box Retailers
Cupertino, CA -- (SBWIRE) -- 11/19/2014 -- Wholesaler distributors that fail to update demand forecasts are often left holding the bag when sales patterns change downstream or retailers cease carrying a product. Forecast Errors, a weekly e-newsletter, shares methods, modes, and tools used in a variety of supply chain industries. The newsletter explores forecast errors as the difference between the actual and predicted value. The consequences of errors are expensive inefficiencies that can be resolved with lean manufacturing technology. The upcoming issue will explain how big-box retailers like Wal-Mart and Home Depot extract deep concessions from their suppliers and often require them to maintain high service levels and in-stock percentages.
The November 24th issue will discuss the cyclical and volatile nature of the semiconductor industry, sales forecasting is perhaps one of the most critical factors for financial success year-in and year-out. An accurate forecast can help minimize the need to unexpectedly ramp-up or burn-off inventory, either of which can wreak havoc on profitability. Companies need one version of the truth to run their businesses from inventory to allocation of marketing funds to salesforce compensation. CFOs can look beyond the standard measures to focus on end-user demand forecasting, operational forecasting and long-term contracting to make sales forecasting more effective.
To subscribe to Forecast Errors, go to: http://info.ultriva.com/newsletter
Ultriva’s (http://www.ultriva.com) cloud-based platform leverages seamlessly integrates with leading ERP and MRP systems, to deliver an end to end pull based replenishment solution. Ultriva, based in Cupertino, CA, implements a global demand driven manufacturing model by providing full visibility, scheduling, and sequencing of production of customer orders. Ultriva was named one of the Great Supply Chain Projects of 2014 by Supply & Demand Chain Executive magazine and recently named one of 50 Best Supply Chain Blogs of 2014 by SupplyChainOpz. The company’s global footprint is increasing rapidly with implementations in wide variety of industry sectors and enterprises such as Magellan Aerospace, CareFusion, Emerson, Ingersoll Rand, McKesson, Triumph Group, Regal Beloit, Thermo Fisher, and more.
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