sofco Demand Planning

Demand Planning is a multi-step operational process which is essential for any company's supply chain to create a reliable forecast.

Effective demand planning is essential. Its purpose is to predict sales/demand in terms of volume and value over products, markets, distribution channels and time. The main business processes (purchases, production, and distribution) derive their results from this fundamental information, the quality of which has a direct and highly significant effect on all the main performance parameters of a company: profitability, customer service level, level of inventory, tangible assets, production costs, etc.

As each sector has particular needs and companies operate in different organisational contexts, sofco's Demand Planning software offers a modular structure that allows configuration of a demand planning process in accordance with the precise needs of each company.

The various components concern demand forecasting, the definition of sales budgeting, and promotion planning, as well as the management of an efficient collaboration process that allows the sharing and consolidation of information from various in-company players to develop a realistic demand plan.

Statistical Forecasting

Allows a simple application of sophisticated statistical demand forecasting techniques in relation to the available historical data. It combines forecast algorithms, past data analyses and current sales data with market knowledge and data supplied directly from the sales network. The forecast may be constantly updated, e.g. in “rolling” mode, comparing forecasts and actual sales data.

Collaborative Demand Planning

Product Managers, Marketing and Sales Managers, all hold information useful to defining a realistic demand plan. Their involvement in the definition of a shared plan increases the effectiveness of the plan itself. The Collaborative Demand Planning module produces a simple yet effective process necessary to define a shared demand plan. Each participant can receive the relevant section of the plan, filtered on markets/channels/products or product families of interest, elaborate it via a widely used tool such as Microsoft Excel and then make it available to central planning for consolidation, synchronisation and publication.

Scenario Planning

Allows the development of multiple Forecasts with a side by side comparison view, therefore allowing the user to predict different possible business outcomes with the ability to evaluate multiple possibilities e.g. Optimistic, Pessimistic, Most Likely Case before deploying the agreed Forecast.

Promotion Planning

Supports promotions management as part of the forecasting process, as well as the evaluation of the impact of such initiatives on volumes, turnover and margin objectives. This solution helps planners predict the uplift based on search criteria that evaluate past events in terms of Products, Markets, Fixture, Mechanics and Event duration. The Event can then be evaluated in terms of volume and financial viability before release. In-flight management monitors the progress and Post Event Analysis provides the Plan v Actual Results.

Sales Budgeting

Allows joint evaluation of volumes and economic values for budget definition purposes. It combines statistical forecasting tools with economic evaluation features. The sales budget definition, with the determination of macro business objectives in terms of sales, is an appropriate starting point for subsequent demand management and planning activities.

Replenishment Planning

Supports organisations such as Wholesalers and Distributors who have a requirement to Replenish Stock in a single tier environment where there is no Manufacturing or Bill of Materials to consider. A basic MRP calculate-ion including key parameters such as lead time, MOQ, Order Multiples, Safety Stock, Supplier Closures provide all the key functions to drive purchase suggestions in this environment.

Key Functionality
The Benefits
  • Multi-level, best fit statistical Forecasting
  • Seasonal profiling, trends and cycles
  • Curve based 'profile' Forecasting
  • Placeholder and new product introduction
  • Statistical Safety Stock Planning
  • Collaborative Planning
  • Promotion Parameters
  • Post Event Analysis
The Benefits
  • Increased on-time delivery performance
  • Reduced inventory obsolescence
  • Reduced production costs
  • Reductions in Inventory investments
  • Improved Promotional Planning and Profitability
  • Pre-promotion evaluation & approval
  • In flight tracking
  • Post promotion evaluation & reconciliation

Sofco Limited
sofco is also an & Distribution partner
sofco Limited is a company registered in England and Wales
Company Number 11018126

Sofco Limited
sofco is also an & Distribution partner
sofco Limited is a company registered in England and Wales
Company Number 11018126