The Importance of Demand Forecasting in Supply Chain Planning
Demand forecasting plays a vital role in supply chain planning by enabling organizations to optimize inventory, plan production, enhance supply chain efficiency, satisfy customer demands, reduce costs, and mitigate risks. Accurate forecasting leads to better resource allocation, improved customer satisfaction, and streamlined operations. While challenges exist, the benefits of demand forecasting make it an essential component of successful supply chain management in today’s business landscape.