Is Your DOM Forecasting Strategy on the Wrong Path?
Most retailers and distributors don’t do a good job of forecasting demand at the place where it really happens – fulfillment. They are forecasting demand where the sale happens, vs. where customers receive products. And that has got to change.
If you’re using a Distributed Order Management (DOM) system, or one is on your radar, listen up. Traditional DOM systems alone tell an incomplete picture of modern retail’s volatile “buy-wherever, receive-wherever” shopping – which leads to costly demand distortion.
Get your demand forecasting strategy in line with today’s complex fulfillment channels, so you can allocate inventory quickly with MINIMAL shuffling between locations and MINIMAL unintended consequences – like unnecessary safety stock, inflated transportation costs, stockouts, and disappointed customers.
This PlanningPosts article shares why things like demand visualization by fulfillment node, transaction-level analysis, AI and more should be a part of your demand forecasting process. You’ll learn:
- Why DOM doesn’t cut it as a standalone demand forecasting strategy
- Alternative strategies for handling demand volatility
- How AI & machine learning can be applied to supply chain planning solutions to augment DOM