Forecasting Efficiency Quotient (FEQ) vs. GMRAE
There are more questions on the comparison between FEQ and GMRAE. Please review the material on the http://www.demandplanning.net/DemandMetricsExcelTemp.htm. We will post the comparison shortly.
Author: Dr. Chockalingam
Dr. Mark Chockalingam is the founder and President of Demand Planning LLC, a Business Process and Strategy Consultancy helping clients across industries: Pharmaceuticals, Consumer Products, Chemicals and Fashion Apparel. His specialty consulting areas include Sales forecasting, Supply Chain Analytics, and Sales and Operations Planning. He has conducted numerous training and strategy facilitation workshops for a variety of clients in the US and abroad. Mark has worked with a variety of companies from the Fortune 500 such as Wyeth, Miller SAB, FMC, Teva to the small and medium size companies such as Au Bon pain, Multy Industries, Ticona, a divison of Celanese AG. With significant expertise in business forecasting and modeling, he is a frequent speaker at major supply chain events on topics ranging from demand management to sales and operations planning. Prior to establishing his consulting practice, Mark has worked with manufacturing companies in important supply chain positions. Mark was Director of Market Analysis and Demand Planning for the Gillette Company, now part of Proctor and Gamble. Before Gillette, Mark led the Suncare, Footcare and OTC forecasting processes for Schering-Plough Consumer HealthCare in Memphis. Mark has a Ph. D. in Finance from Arizona State University, an MBA from the University of Toledo and is a member of the Institute of Chartered Accountants of India.
The Forecasting Efficiency Quotient
As demand planners, have we added value through forecasting? Is your forecasting effort efficient? You can answer in the affirmative, if your diligent efforts in demand planning has resulted in … Read More
Demand Metrics for Forecast Diagnostics
We just published a new Demand Metrics Diagnostics Template for all DPNet users. This template is provided as a reference to calculate the health of the modeled forecast for one … Read More
Forecast Bias Over Tracking Signal
Tracking Signal is used to measure forecasting bias over time for the same SKU/Product especially when bias approaches extreme proportions and crosses a threshold. This comes from the Quality Control … Read More
Best and Worst Practices in Demand Planning
Demand Planning Best practices in a training workshop format.
Response to MAPE and MPE Calculations – Mark Chockalingam
This post addresses a practitioner question on MAPE and MPE calculations. In both cases, always use the measure that is volume weighted.
Customer Focused Supply Chain Collaboration
I will be speaking on Customer Focused Supply Chain collaboration on Wednesday Oct. 13th at the Bear & Grill Restaurant, Orange CT at 6:30pm as part of the New Haven … Read More
Forecast Modeling Capabilities in SAP APO vs. Other Statistical Tools
I will take SAS software and Forecastpro as benchmark tools here to compare the capabilities of APO DP. Between SAS and APO DP, the difference is huge. You have an … Read More
Calculating MAPE – Special Cases: Obsolete Stock
When calculating MAPE what is recommended when actuals are positive but forecast is 0 (for example when clearing obsolete stock)? Can you make the forecast match the actual quantity so … Read More
Demand Volatility vs Forecast Accuracy
Demand volatility does NOT necessarily mean the demand is unpredictable. Demand volatility also does not mean the demand is an ugly scatter of points across the map. Forecast accuracy and Demand volatility are two different things, though there is a strong relationship between accuracy and volatility in practice. To improve forecast accuracy, you may need to do a variety of things and reducing or mitigating volatility is just one of those things.