Is WMAPE Over-Rated As An Organizational KPI?
Many are taking shots at the very thought of measuring Forecasts itself leave alone with WMAPE. And some are taking shots at the discipline of Forecasting itself. If forecasting is … Read More
Tag: demand metrics
Keep Cribbing or Find Solutions
There was an interesting technical issue at a client using SAP SCM with substantial investment in demand planning using SCM tools. After some googling, I landed on this blog … Read More
Forecast Error Benchmarking Across Various Industry – Survey Results
we started conducting the survey across supply chain and demand planning professionals from various industries. This survey was meant to compile information about their pain points, forecast error metrics they use, industry they work for, and who owns the demand planning function. We are publishing the first installment of the results from this survey in this newsletter.
As expected one of the metrics used by 52% of the respondents is WMAPE or volume weighted MAPE, calculated as Sum of Absolute errors divided by sum of actual demand.
Value Chain Metrics and Score-Carding
One of the Key steps to improving your Value chain is to measure and score-card the current state. If you don’t measure where you are, how will you know what … Read More