Demand forecasting is an applied statistical technique that analyzes historical demand by breaking it into components. Typically the components include:
Level representing the central tendency of the data
Trend representing the growth or decline over time
Seasonal variation representing changes during one year
Cyclical variation representing longer-term changes
Random variation representing irregularities in the demand
Most MRP and ERP system have a demand forecasting model that allows you implement a variety of techniques and error measurement methods. The wide range of available methods is often confusing and makes it difficult to select an appropriate method.
Ombu can help you understand the methods, their strengths and weaknesses. With this background, we can help you select and implement the methods that will yield the best results for your products. While forecasting is not a guarantee of future demand, a company with good forecasting models and flexible production methods can fill customer demand while maintaining lower inventory levels.
Our approach is project oriented, working with you to set the scope, deliverables, and timing of the project. We can provide MS Project plans as well as regular status reports.
To discuss your projects and how we can aid in your improvements, please contact: