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- Historical and current focus has been on Supply Chain responsiveness
- Future focus must emphasize forecasting of customer demand
- Requires constant participation by Sales, Marketing, Engineering, PLM, Operations and Sourcing
- Total cycle time from start of forecasting to acceptance of Supply Chain response must be < than 15 days
- Longer cycle time results in outdated demand plan due to volatility
- Aggressive objective for cycle time will result in reduction of excess/obsolete inventory
- Increase frequency of supply and demand rebalancing
- Incorporate event-driven changes on a weekly basis
- Response to the new demand plan should be performed weekly
- Forecasting process will be built on a unit basis vs. revenue dollars
Customer Forecast Collaboration