Demand Management

World-Class Demand Management

World-Class Demand Management seeks to estimate, control, smooth, coordinate, balance, and influence the demand and supply for a chain's products and services in an effort to reduce total costs for individual firms and the chain as a whole. Demand management recognizes that forecasts are developed at several points throughout an organization. Demand management accepts forecasts from customers and other functions, and then updates them based on actual, real-time demand. Demand management also works with the supply side to adjust the inflow of materials and products. Control in demand management is accomplished through the execution of effective production plans, calculation of inventory levels, setting of capacity levels, and developing customer service strategies. Demand managers recognize that demand management is a process (versus a bounded business function) that requires the utmost in coordination and communication between the responsible parties.   Learn the best practices of demand management and how to assess your organization's capabilities in this critical core competency.

This is a 2008 version of the step chart.  Showing an old chart is intentional.  Contact RI for the latest, updated version.