Smart-touch forecasting: the new playbook in demand forecasting
How to debunk the illusion of no-touch demand forecasting and take decisive steps toward optimally combining (wo)men and machine.
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Our roadmap provides a complete overview of the required steps towards a smart-touch forecasting setup.
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Faster, data-driven decision-making
In the face of increasingly competitive market conditions, meeting service level targets requires effective demand forecasting.
The challenge often lies in efficiently converting data into actionable forecasts.
Smart-touch demand forecasting is powered by a deep understanding of demand drivers and leverages this knowledge to effectively balance human expertise and machine intelligence.
Statistical forecasting
Statistical forecasting facilitates your first step toward effectively combining (wo)men and machines in your demand forecasting approach.
In this approach, demand planners first use statistical models to uncover hidden insights from sales history towards a baseline forecast.
Manual or semi-automated enrichment processes ensure this baseline forecast is enriched with relevant information to achieve the desired forecast accuracy.
Forecasting with AI/Machine Learning
AI or machine learning-based demand forecasting forms the ultimate smart-touch forecasting setup: (wo)men and machine collaborate effectively to ensure the highest possible forecast performance.
In this setup, the machine is given a bigger role and the human focuses on adding value in specific cases.
- Use the machine to automate the obvious
- Use the machine to recommend the probable
- Use the machine to flag where human intervention is needed.
The 4 principles of smart-touch forecasting
Motivation to use machines & data in demand forecasting
Believing in the impact of advanced demand forecasting
Creating an integrated forecast optimization plan
Establishing the continuous learning mentality
Motivation to use machines & data in forecasting
At the root of any change is the motivation to change. If you want change to happen, there must be a noticeable appetite to move to more advanced demand forecasting and leave old ways behind. You will see this in a cross-functional appreciation of forecasting, a willingness to work on improvement, and a general eagerness to look for new ways to improve forecasting quality. Because moving to advanced demand forecasting means increasing data sharing and collaboration, first look to increase intrinsic motivation throughout the organization.
Believing in the impact of advanced forecasting
Once people understand what advanced demand forecasting can look like, you need to make the benefits more tangible. When a planner sees the accuracy that can be gained by introducing statistics or machine learning, you have at least triggered belief. If I am going to start trusting a machine to do some of the manual forecasting work that I used to do, I want to be convinced that it can do the job, and I want to see what that means for my role as a demand planner.
Fast forecast scan
Access insights into the forecastability of your business and the improvement potential of your forecast, backed by the latest in data science.
Read moreForecasting and demand planning assessment
Get a new roadmap to effective demand management based on a quantitative and qualitative assessment of your planning.
Read moreProof of concept
Our proof of concept provides an underpinned insight into the drivers for your demand and the forecast accuracy that can be reached with smart-touch forecasting.
Read moreCreating an integrated forecast optimization plan
If there is enough conviction to move to more advanced demand forecasting, do not just start. Moving to more advanced demand forecasting means moving to more data collaboration. If not planned properly, this can result in new set-ups that lack data for forecasting, are underutilized, distrust forecast results, or are simply not understood.
Process design
We help you assess and re-design your E2E planning cycles with a focus on improved connectivity, agility and alignment with new digital capabilities.
Read moreTool selection & development
Forecasting as-a-service
Let our experts take the lead, providing reliable forecasts for process optimization and decision support that instantly plug-in to your existing tools.