Demand planning is essential for a business that regularly deals with stock. Any person that works within a business or industry that manages stock, will need to be aware of what stock is coming in, versus what stock is going out.
Understanding your stock demand needs and assisting with replenishment requirements will in turn ensure your stock is ordered as needed. This is crucial, especially for stock with demand that fluctuates at different times of the year. Creating a demand plan that will pinpoint when to order, and in what quantities, will help your business run smoothly and maximise your order process.
NetSuite can provide demand planning features which will automate these processes, reducing the need for “clunky”, inaccurate manual processes, and reducing the risk of human error. Having a member of staff that has to constantly monitor stock levels, and order stock at the right times, ensuring you can fulfil your orders, is a massive overhead, especially if your stock demand varies throughout the year.
NetSuite Demand Planning function analyses stock needs and replenishment requirements, creating orders that will maintain stock as needed. You can also pinpoint when to reorder items as needed allowing you to maintain optimal stock levels. Ensuring correct stock levels is essential in reducing the risk of not being able to fulfil orders, and manage the overhead of surplus stock sitting in a warehouse.
By recording the expected future demand for an item based on previous, or projected demand, or by giving you full control of time frames, and stock levels, Demand Planning with NetSuite streamlines, protects, enhances and supports your business in optimal delivery.
NetSuite’s demand planning functionality contains many helpful features to ensure a lean, streamlined business operation. Some of these features are:
Demand Planning Engine
Calculates demand projections based on historical data, sales forecasts, average trends and seasonality.
Gross Requirements Enquiry
Shows the impact of future inventory levels based on expected sales and purchase orders.
Supply Chain Intelligence with MRP
Calculates a supply plan with recommended purchase and work orders as well as rescheduling in/out and cancellation alerts based on MRP parameters.
Distribution Resource Planning
Plan inventory levels across different locations using networks that transfer stock.
Available to Promise
Real-time visibility into item availability to assist with fulfilling customer orders.
NetSuite shows that its inventory management and demand planning features are a valued asset to any business that is reliant on great stock management. By using these features, your business can manage its overhead of having staff manually determine the information needed, by reducing the time spent on managing the information and reducing the risk of human error.
Download NetSuite for Wholesale and Distributors Data Sheet
In a study by SL Associates, wholesale distribution companies reported stunning improvements in key performance metrics after switching to NetSuite’s cloud-based software solution.
- Actionable Business Insights + 50% to 80%
- Gross Margin Performance + 1% to 5%
- Revenue Performance + 2% to 10%
- Inventory Costs - 20% to 30%
- Obsolete Inventory Carrying Costs - 20% to 40%
- Customer Backorders - 60% to 80%
- IT Resource Costs - 50% to 75%
- Disaster Recovery Costs - 50% to 75%