Executive Summary CRM vendors state that their applications increase sales forecast accuracy. We question this proposal by CRM vendors and ask for evidence. Introduction This article discusses one strong reason why CRM systems have such a problem earning a positive return on investment, which may be related to forecasting. Our References for This Article If…
Executive Summary Sales forecasting is little covered in books. It is necessary to understand the limitations of low volume sales forecasting. Sales forecasting output can be used for supply chain forecasting. However, it must be checked and frequently adjusted for sales or quota bias. Introduction to Low Volume/High Dollar Forecasting In performing research into forecasting,…
Executive Summary Forecast bias is often discussed without stating how it is deliberate. Sales forecasting, along with marketing forecasting, has the highest deliberate bias. Introduction Before writing this article, I spent time reading some of the many articles on sales forecasting right here on LinkedIn. Almost all of the articles I read were from people…
Executive Summary A question that sometimes arises is whether DP or PP/DS can be used without SNP. There are important implications for doing this, which we will cover. Introduction to DP and PP/DS without SNP There is a standard flow to APO concerning demand, supply, and production planning. The flow is the demand plan is…
Executive Summary Companies regularly ask for supply chain inventory benchmarking. We cover the topics of benchmarking and what it means. Introduction One approach sometimes proposed to determine the potential opportunity for supply chain improvement has been to find benchmark studies of companies’ supply chain performance similar to the enterprise in question. This article will explain…
Executive Summary How financial incentives drive the dissemination of misleading information on SAP DP. Bad DP Consultants are misleading their clients as to DP’s potential. Introduction A few years ago, I found an article by a person who sells training and consulting in SAP DP and found what I thought were some very flawed arguments…
Replenishment Triggers: Setting Systems for Make to Stock, Make to Order & Assemble to Order Screenshots and examples from SAP and Demand Works. What The Book Covers This is the first book to focus entirely on manufacturing environments and replenishment triggers and requirement strategies. It is, of course, not the first coverage of the topics, as…
Executive Summary A Confusing Problem with the Forecast Profile that Appears in the Univariate View The Issue with Changing Forecast Profile Assignments Introduction to DP Forecasting Profiles As discussed in previous articles, the Univariate View is where most interactive forecasting functionality resides. This is where changes to Forecast Profiles can be simulated. It is found…
Executive Summary We cover how to adjust Key Figures in Planning Books. There are problems with extra Key Figures. Several options are ranging from hiding Key Figures, removing Key Figures from the Planning Book, and removing Key Figures from the Planning Area. Introduction As the use of a system progresses, there are, in almost all…
Executive Summary Interactive planning in APO is different than planning in the background. There is a limitation with SAP DP in the two different running approaches. There is the ability to perform aggregation of forecasts in the Process Chain for forecast model assignment. Forecast items can be assigned to the forecast model and the planning…