What Forecasting Processes Should You Use?

March 14, 2012

What This Article Covers What are some forecasting strategy decision points? Why don’t companies know more about what parts of the forecasting process add value? Why is testing a major component to forecast process evaluation? Decisions Decisions There are several decisions to make when it comes to forecasting. These decision points include the following: Which [...]

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Historical Demand History Removal

March 12, 2012

What This Article Covers What is historical removal? Why would it be beneficial? How common is it? Definition Historical Removal – Removes demand history, typically beginning from the earliest and then working up the sequence of demand history periods, in order to improve forecast accuracy. Historical removal works in environments where the older demand history [...]

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Historical Adjustment Definition

March 12, 2012

What This Article Covers What is historical adjustment? What are the benefits of historical adjustment? Definition Historical Adjustment – The movement of demand history from a place it was incurred to a place where it was not incurred. This functionality provides the ability to flexibly reflect alterations in the supply network in the demand planning [...]

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Multi Attribute Top Down Forecasting Definition

March 12, 2012

What This Article Covers What is top down forecasting? What are the benefits of top down forecasting? Definition Multi-Attribute Top Down Forecasting: The use of more than one attribute for top down forecasting. This can be applied with to two different approaches. In this approach different segments of the product database have a top down [...]

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Top Down Forecasting Definition

March 12, 2012

What This Article Covers What is top down forecasting? What are the benefits of top down forecasting?  Definition Top Down Forecasting – This creates a forecast for a grouping of products, and eventually disaggregates down to the SKU based upon some disaggregation / allocation logic (which can be adjusted in some applications). Forecasts based upon [...]

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Navigational Forecasting Attribute Definition

March 12, 2012

What This Article Covers What is a navigational forecasting attribute? What do navigational attributes do? Definition Navigational Attribute – An attribute which is not an agreed upon attribute of a product (aka a real attribute), but is simply added by a user in order to assist them in making sense of the data. Navigational attributes [...]

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Real Forecasting Attribute

March 12, 2012

What This Article Covers What is a real forecasting attribute? What do real attributes do?  Definition Real Attribute – An attribute that describes an agreed upon and commonly used characteristic of a product. Examples of real attributes are things like the Color or Size of an item. Attributes can be strung together in a forecasting [...]

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Attribute Sequence Definition

March 12, 2012

What This Article Covers What is an attribute sequence? What is the difference between how a attributes are reflected in the data layer versus how they are represented in the application’s user interface?  Definition Attribute Sequence – also known as a virtual hierarchy. The reason for the additional term is that it describes the fact [...]

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Virtual Forecast Hierarchy Definition

March 12, 2012

What This Article Covers What is a virtual hierarchy? What is an example of a virtual hierarchy? Definition Virtual hierarchy – This is a data layer allows infinite online reordering of the levels or attributes in the hierarchy. For instance, if the hierarchy where Region – Flavor – Size, the hierarchy could be easily re-ordered to [...]

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Static Forecast Hierarchy Definition

March 12, 2012

What This Article Covers What is a static hierarchy? What is an example of a static hierarchy? Definition Static hierarchy - This is the result of a hierarchy that is built-in a database that allows only one sequence of levels in general usage. For instance, if the hierarchy where Region – Flavor – Size, the hierarchy could [...]

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