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OEM demand forecasting has traditionally been based on historical shipments, not necessarily on what the consumer actually wanted. This has resulted in a high percentage of either "walkaway" customers or customer compromises on vehicle purchases.
Demand sensing is an effort to understand what the customer wants and incorporate those customer requirements into the demand forecasting process.
Demand sensing analytics and alarming is designed to incorporate demand sensing inputs into the forecasting process. It is designed to enable organizations to understand where actual orders are deviating from demand forecasts—and determine corrective actions.
Capabilities of the i2 solution for demand sensing analytics and alarming can include:
- Ability to develop forecasts based on demand sensing information
- Monitoring of actual demand versus forecasts
- Notification of volume and option penetrations versus forecast
- Ability to make corrective actions to minimize deviations from the demand forecast plan
Benefits of the i2 solution for demand sensing analytics and alarming can include:
- Increased revenue
- Reduced finished goods inventory
- Improved customer satisfaction
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