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Forecasting and Master Planning the Supply Chain
The inability to obtain from a customer (or internally calculate for a supplier) an accurate and timely forecast will inevitably result in undesirable outcomes. Effects can range from the “whiplash phenomenon” that results in costly overproduction with resultant excess inventory, or costly stockouts that alienate the consumer, perhaps forcing them to turn to a direct competitor.
Forecasting and Master Planning the Supply Chain provides an introduction to world-class sales forecasting techniques that drive Operations and Supply Chain Management. Such techniques as Weighted Moving Average, Exponential Smoothing, and Seasonality are explored.
The Planning Hierarchy is discussed, including Sales and Operations Planning (S&OP), Master Scheduling, Available to Promise (ATP), the value of establishing Time Fences, Distribution Requirements Planning (DRP), and Capacity Concepts such as Rough- Cut Capacity Planning. Planning BOMs and the effects of Configure-To-Order Manufacturing are discussed at length as ways to simplify planning and forecasting.
This is a core course in the Operations Resource Management Certificate Program