How should a demand planner in a manufacturing company forecast product demand using SAP Analytics Cloud?

A demand planner in a manufacturing company can effectively forecast product demand by implementing rolling forecasts, setting up data actions for automation, and utilizing value driver trees for simulations.

Rolling forecasts allow demand planners to continuously update and adjust their forecasts based on the latest data and market conditions, thus improving accuracy over static forecasting methods. This adaptability is crucial in the manufacturing sector, where demand can fluctuate due to numerous factors such as seasonal trends or supply chain disruptions.

Setting up data actions for automation streamlines the forecasting process by allowing planners to automate repetitive tasks, enhancing efficiency and reducing the risk of manual errors. Automation can also facilitate real-time updates to the forecast model, ensuring that decision-makers have access to the most current information regarding product demand.

Utilizing value driver trees for simulations adds another layer of depth to the forecasting strategy. By visually mapping out the relationships between various drivers of demand—such as pricing, marketing efforts, and economic indicators—demand planners can simulate different scenarios. This helps in understanding how changes in certain factors might impact overall demand, enabling more informed strategic planning.

Through this combination of rolling forecasts, automation via data actions, and scenario simulations using value driver trees, a demand planner can create a robust and responsive forecasting framework that aligns closely with the dynamic nature