Overview

Thirty years ago, demand management within most manufacturing companies was minimal at best or nonexistent. In some cases, demand was forecast, but it was not common for the forecast to be used to drive financial projections or production rates. Only in rare circumstances was demand information communicated by customers to their suppliers.

Today, companies and supply chains are developing whole new models for managing demand. Companies are using the demand plan to drive their supply and financial plans, which is causing demand plans to be updated monthly, rather than quarterly or annually. Customers and suppliers are collaborating to communicate demand information (monthly, weekly, and even in near real time) and develop tactics to capture sales.

As a result, the roles, responsibilities, and best practices of demand management are changing and continuing to evolve. The purpose of this book is to document the principles and best practices of demand management. It focuses not only on today's best practices but on what the authors believe will be the best practices of the future. In doing so, we hope that you will not have to "reinvent the wheel" in implementing demand management in your company and supply chain. We also hope that the experiences and practices presented in this book will stimulate your company, and the supply chains in which you are a partner, to continue to improve your demand management processes.

Today, there is a greater realization of the value of and need for competency in planning, communicating, influencing,...