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: Forecast Accuracy
Our Demand Planning Seminar in Chicago – With Emerging Trends And New Topics Oct 14-16
three day workshop on Demand Planning and Forecasting.
Is S&OP An Event?
Taking stock of your Sales and Operations Planning Process may be a good start. It is important to understand what you get out of it and how it benefits your company in the planning and decision making process.
Demand Planning Training Workshops – What Is Out There? What Is Different About Us?
The workshops offered by Demand Planning Net are unique in the sense we actually offer practical, hands-on workshops. We assign pre-work to every attendee before the come to the workshop. Every one needs to bring a laptop to work through individual and group exercises to create actual demand plans and solve demand analytic challenges.
They submit solved case studies before they get a certificate of completion. This certificate of completion is essential as a pre-requisite before appearing for the certification exams in Demand Planning and Sales Forecasting.
Many professionals who have attended our workshops, have reported back that they were able to use the concepts in their every day activity. Many of our attendees are our loyal fans and have sent their colleagues and peers and successors to the workshops.
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.
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
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.
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
Is MAPE controversial?
MAPE = Mean Absolute Percent Error. This is the common error measure used by the Supply Chain profession. Demand Planners and Demand Forecasters spread across the manufacturing sector use MAPE … Read More