Forecast new product success scientifically A new product is launched in the market to reduce the inflation cost of production by making improvements on existing products, targeted to the current market needs. New products are launched by introducing area-specific changes to extend the market space. New Products permit organizations to...
A use case for what-if tool - Long horizon forecasting example The need for long-horizon forecasting Long-horizon forecasting involves predicting a situation 1.5-2 years in advance. Some businesses need such horizons for procurement of raw materials, ensuring the availability of staff and labour to meet demand and supply, expense management...
COVID-19 impact on the retail industry While COVID-19 spreads globally, the retail industry braces for the outbreak’s fallout. From the slowdown in sales at the moment to not being able to move inventory and an increase in demand from the consumer market, here’s everything you need to know about the...
Factors to keep in mind while Forecasting A famous quote coined by Paul Saffo, a consultant associate professor at Stanford University who has been a technology forecaster for more than 35 years now, says that- “The goal of forecasting is not to predict the future but to tell you what...
About AI In Supply Chain Optimization Artificial Intelligence (AI), defined by Gartner as a technology that “applies advanced analysis and logic-based techniques, including machine learning (ML), to interpret events, support and automate decisions, and take actions,”. is attracting a lot of attention right now as companies grapple with a skilled...
Stockouts - causes and how to avoid them StockOuts and Why It Happens According to wiki, A stockout, or out-of-stock (OOS) event is an event that causes inventory to be exhausted. In layman terms, it means unavailability of the product when customer want to purchase it. Stockout is an opposite...
Retail Stock Management Techniques For New-Age Retailers No business has ever become successful with ineffective retail stock management. Take the biggest of names in the industry and the statement holds true. Walmart lost a whopping $3 billion because its retail stock management went wrong and the most in-demand inventory went...
AI in fashion industry Trends in the fashion industry are driven by customer flickering behavior. Change is the only constant in this field. Other than consumer expectations, fashion is also largely impacted by numerous cultural, seasonal, geographical, and social events. However, the world has come together because of the internet....
How deep learning solves retail forecasting challenges Like in the case of most industries, retail too, is being driven forth and ahead with data. Keeping up with the increasing demands and expectations of customers is no easy feat. However, utilizing traces of data that consumers leave behind, retailers have actually...
Machine learning and AI-based techniques use complex algorithms that can contribute to solving complex cost and delivery problems faced by an increasing number of enterprises today. Deploying the right ML model, enterprises can draw significant insights on how to improve and optimize their supply chain performance. By anticipating anomalies in logistics costs in real-time, AI in machine learning can help companies bring down revenue losses tremendously
Roaring magnanimously, artificial intelligence has emerged as one of the most widely used technologies in every industry today. Looking at the graph below, it is clear that artificial intelligence has established a strong foothold in supply chain management as well. In fact, AI in the supply chain comes at the...
Data-Driven Transformation Affair in Retail Retail is one of the strongest and fastest-growing industries worldwide. 2019 onwards it will further pick up the pace and witness a glorious data-driven transformation. If you take a look at the statistics, the global retail industry is expected to register a CAGR of 5.3%...
Traditional Forecasting Methods As seen in Part 1, Forecasting is an important part of the demand planning strategy. Human beings have been cognizant of the importance of forecasting since time immemorial. We have forecasted weather patterns to understand mother nature to become an agrarian community from hunters and gatherers. While...
Demand Planning An unsophisticated forecaster uses statistics as a drunken man uses lamp-posts - for support rather than for illumination. After Andrew Lang </em> All business planning is underpinned by forecasts - sales of new and existing products, availability of Raw materials. Yet no one has a crystal ball that...
Sales Forecasting No enterprise these days can remain competitive and profitable without optimizing its short-term and long-term performance. Businesses from various industries and regions improve their long-term and short-term performance by estimating future sales accurately. The term sales forecasting refers to the process of estimating future sales of business with...
The businesses nowadays collect real-time customer data from various sources. The sales forecasting models help businesses to predict future demand for a product based on real-time customer data. Some models enable decision makers to estimate future sales based on information collected from sales representatives. At the same time, the businesses can use specific techniques to forecast demand by initiating market tests and conducting surveys.
Importance of Sales Forecasting for Businesses The demand for a product or service keeps changing from time to time. No business can improve its financial performance without estimating customer demand and future sales of products/services accurately. Sales forecasting refers to the process of estimating demand for or sales of a...
