The #1 Oracle NetSuite Demand Planning
What is NetSuite Demand Planning
NetSuite Demand Planning enables businesses to forecast future inventory needs by analyzing historical demand, sales forecasts, open opportunities, and other metrics. This allows businesses to determine when and how much to reorder, optimizing their stock levels and enhancing supply chain planning. With improved forecast accuracy, businesses can ensure they have the right inventory on hand to fulfill orders without having excess stock taking up space and increasing carrying costs.
Improve Forecast Accuracy
Improve forecast accuracy with four projection methods available in the forecasting algorithm: linear regression, moving average, seasonal average, and sales forecast.
Efficiently Manage Cash Flow
Planners can minimize carrying costs and reduce excess inventory by avoiding preordering or bringing in materials without visibility into what is needed and when. This approach helps to free up cash and streamline inventory management.
NetSuite Demand Planning Benefits
Increase Inventory Turns: Optimize inventory levels by stocking and replenishing products based on sales to minimize excess inventory and carrying costs.
Optimize Inventory Levels: Order inventory as needed to minimize overhead and carrying costs, and avoid excess stock.
Drive Profitability and ROI: Maintain optimal inventory levels to meet customer demand while avoiding excess stock that may go unsold or require discounts.
NetSuite Demand Planning Features
Ensure timely availability and accurate placement of necessary materials to optimize revenue, profits and return on investment.
NetSuite Demand Planning enables companies to assess expected orders and display the information in various formats. The menu guides the process to compute demand, review demand plans, and modify them as necessary; create supply plans, assess and modify them; and eventually create purchase, transfer, and work orders. Companies can create real transactions and bypass planned orders if needed.
NetSuite allows companies to easily define and manage multiple inventory locations with real-time visibility. The locations can be organized hierarchically and include relevant countries for global businesses. The system can also be set up to automatically create transfer orders between locations during the planning process.
Easily define the parameters that affect each item. Options include defining an item as being available to demand planning, establishing an alternate source for a new item with no sales history and establishing which distribution network and category an item might belong to if using NetSuite’s DRP (distribution resource planning) functionality so you can transfer inventory between locations. Companies may also set additional planning parameters that affect either how demand is evaluated or how planned orders are generated.
Planners can easily review all sources of supply and manage allocations to ensure that high-priority orders are fulfilled on time. NetSuite Demand Planning provides intelligent supply reallocation recommendations, which aim to redirect resources from multiple unallocated orders to fulfill priority orders first while minimizing the impact on other customers. This helps to reduce the time required to plan, review and execute reallocations. After accepting a recommendation, the system will automatically realign supplies with affected orders.
Challenges NetSuite Demand Planning Solves
Obsolete Inventory: Accurate forecasts based on historical sales and seasonality can minimize excess stock that goes unsold.
Lost Sales: Ensure product availability and optimize sales by precisely forecasting future demand.
High Overhead Costs: Eliminate the excess costs associated with storing unsold inventory by accurately forecasting demand and adjusting inventory levels accordingly.
Production Delays: Ensure timely availability of materials to avoid production delays and interruptions.