FAQ – Sales and Demand Forecasting Module
Quickly find answers to your questions about the sales and demand forecasting module in our Forecast & Replenishment solution
Do you have any questions?
Learn how to make your sales forecasts more reliable and anticipate changes in demand.
1. Why should you integrate a sales forecasting module into your supply chain?
Sales forecasting is a key tool for anticipating demand and effectively managing your supply chain. It helps you reduce stockouts and excess inventory, optimize your procurement, and better plan your orders and deliveries.
2. How does Optimix improve forecast accuracy?
The module is based on more than 50 statistical models to automatically select the one best suited to each product and each retail location. The calculations factor in seasonality, consumer trends, and calendar effects. They also take into account sales events or special occasions, such as promotions, vacations, or holidays.
3. Are the forecasts tailored to each store?
Yes. Each retail location is modeled individually to account for its specific characteristics. In particular, the solution incorporates local purchasing behavior, the catchment area, regional seasonality, and each store’s unique sales history.
4. How does the module forecast sales for new products or new stores?
For new products or store openings, the module uses analogy mechanisms (look-alike) and substitution or cannibalization effects. It also draws on historical data from similar retail locations. The result: reliable forecasts from the very first weeks.
5. Can I modify the automatically generated forecasts?
Yes. You can adjust the forecasts generated by the solution to incorporate your business information. For example: a change in the product mix, supplier information, or a local event that could influence demand.
6. What results can I expect after deploying the solution?
Feedback collected over a six-month period (from a sample of 45 stores) show up to a a 25% improvement in forecast quality, a 75% reduction in out-of-stock incidents, 30% fewer breakages and a 25% reduction in unnecessary inventory.
7. How can I measure the reliability of the forecasts?
The module provides several performance metrics: the RMSE (Root Mean Square Error), the MAPE (Mean Absolute Percentage Error) , and forecasting bias. This allows you to continuously evaluate the accuracy of forecasts by product, store, or segment.
8. Does the module integrate with my information system?
Yes. The solution is compatible with most ERP systems, BI tools, PIM systems, and applications designed for inventory or order management. Its open, API-based architecture facilitates data exchange and integration into your existing environment.
9. How do I set up the sales forecasting module?
The deployment begins with an analysis of your data and business needs. The Optimix teams then work with you to configure the models, integrate the solution, and roll it out in phases. The goal: rapid adoption and lasting results.
