What setup should a demand planner use to forecast product demand accurately?

The most effective setup for a demand planner to forecast product demand accurately includes implementing rolling forecasts, setting up data actions for automation, and utilizing value driver trees for simulations.

Rolling forecasts are vital for adjusting predictions based on the latest data, allowing planners to be adaptive and responsive to changes in market conditions, consumer behavior, or supply chain disruptions. This method provides a continuous view of future demand and helps ensure that forecasts remain relevant.

Setting up data actions for automation enhances the forecasting process by streamlining repetitive tasks and enabling the demand planner to focus on analyzing trends and making strategic decisions. Automated data actions can help in managing the data flow, reducing manual errors, and improving the overall efficiency of the forecasting process.

Utilizing value driver trees adds another layer of depth to demand forecasting by allowing planners to visualize the relationships between various factors that impact demand. This approach helps in understanding the key drivers of sales performance and can guide strategic adjustments in inventory and resource allocation.

Together, these elements create a robust framework for demand planning that maximizes accuracy and foresight in forecasting product demand.