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Handling product range complexity A case study on re-engineering demand forecasting

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Abstract:

Studies the problem of forecasting demand on the article level in a competitive consumer goods market. First the conventional approach to forecasting is discussed. A number of weak points of the demand forecasting unit approach are identified. Next, a new approach to forecasting based on applying scaling models, is presented. The method is then tried out and evaluated in the context of a real life business case. Shows that the advantage of the assortment forecasting process is its simplicity and strong means for feedback. Combined with a strong focus on consumer values, the method has potential to produce reliable forecast based on promotion and assortment change inputs.

Keywords: Bpr; Consumer Goods; Demand Forecasting

Document Type: Research Article

DOI: http://dx.doi.org/10.1108/14637159810231027

Publication date: March 1, 1998

mcb/157/1998/00000004/00000003/art00005
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