Demand Forecasting
Demand Forecasting
This module provides business users with a powerful demand forecasting engine, with machine learning algorithms, capable of creating forecasts at different levels, from aggregate estimates, to the most granular level (SKU-Store-Day).
![Demand forecasting](https://www.retailcloudplan.com/wp-content/uploads/2023/05/demand-forecasting.png)
Input Planning vs Execution
The solution provides demand forecasts at multiple levels, supporting both planning processes, which require a long-term range-extended estimates at aggregated levels, and execution processes, which require short-term estimates and at the lowest levels.
Preprocessing
Preprocessing takes into accounts several preprocessing of historical data cleansing, such as estimating lost sales due to out-of-stocks, automatic outlier detections, causal effects removals, among others.
Demand Components
The demand forecasting engine contains automatic detection tools of demand components, such as trend, level and seasonality, that will serve as input for forecasts models.
Machine Learning
The demand estimation engine contains machine learning tools, capable of detecting multiple patterns, thus achieving higher accuracy compared to traditional models.
benefits
2%
Increase sales
2%
Increase margin
25%
Reduce overstocks
40%
Reduce decision time