Despite the best of intentions, generating good forecasts is still difficult for even the best managed companies. It remains one of the most sought after goals for supply chain improvement. And for good reason. It impacts nearly every aspect of supply chain performance.

Our goal is simple: Helping you achieve outstanding customer-service levels through improved short-term demand forecasting and inventory positioning. Why tackle both forecasting and inventory together? Because demand and inventory are two sides of the same coin. Demand forecasts attempt to predict future demand and safety stock inventory compensates for demand fluctuations, covering the demand until the supply chain can replenish the gap.

ToolsGroup is helping customers achieve record customer service levels with Demand Sensing and inventory optimisation. Our customers improve short-term forecast accuracy and correctly set safety stocks, achieving up to 99+% customer service levels while significantly cutting inventory. They employ demand profiling and advanced consumption logic to improve short-term forecasts and remove persistent forecast bias. They create an optimized inventory portfolio driven by customer-service objectives.

The benefits include increased service levels, improved inventory turns as well as additional operational benefits. According to AMR Benchmark Analytix data, companies with the most accurate forecasting have:

• 15% less inventory
• 17% better perfect order performance
• 35% shorter cash-to-cash cycle time
• 10% higher revenue
• 5% to 7% better profit margins

Improving short-term forecast accuracy should be one of your most important supply chain goals. Achieving your best customer service levels ever with an optimal mix of inventory will be your reward.