Companies looking to improve their management of product supply and demand now have access to a new demand management solution - Demand Forecasting - from JD Edwards.
The new collaborative module analyses sales and shipment history and applies advanced algorithms to predict statistically and accurately what sales will be in the future, making it particularly appealing to mid-market companies.
JD Edwards Demand Forecasting is the first component of the company`s planned new supply chain management release, Supply Chain Management 9.0 (SCM 9.0), part of the JD Edwards 5 family of collaborative enterprise solutions.
JD Edwards Demand Forecasting works in tandem with the company`s Demand Consensus product to create a collaborative demand management solution that gives customers the information required to control inventory, plan production and balance supply and demand.
Demand Forecasting is well suited for companies in the pulp and paper, utility, energy, chemical, industrial manufacturing and electronics industries.
"By accurately forecasting sales, we can deliver greater value to all stakeholders involved in our supply chain," says Mitch Myers, VP of operations at FW Murphy. "A better forecast will allow us to reduce inventory levels, improve our production planning processes and improve customer service. Demand Forecasting combined with Demand Consensus will give us a statistical forecast foundation that enables the collaboration necessary to build an accurate view of product demand."
Headquartered in Tulsa, Oklahoma, FW Murphy produces a broad range of engine and engine-driven equipment controls and monitoring systems for use in gas compressors, standby generators, construction equipment, irrigation and water pumping systems.
Jon Cheele, director of the ERP programme at Elementis, an international specialty chemicals group headquartered in the UK, comments: "Increasing the accuracy of our forecasts and bringing true collaboration into the planning process in an efficient manner were key drivers in our decision to license JD Edwards Demand Forecasting and Demand Consensus. We will implement these demand management tools along with several other advanced planning products from JD Edwards on a global basis in coming months."
Among the features of Demand Forecasting are:
. Statistical-based safety stocking to help maintain optimal inventory levels.
. Scenario and what-if analysis functions to identify exceptions.
. An automated forecasting engine from SPSS Inc for leading-edge statistical models that improve forecasting accuracy without adding analytical staff.
. Flexible business modelling and fast processing speed delivered by an object-oriented database.
The embedded forecasting engine from SPSS, a global provider of predictive analytics technology and services, relies on a patent-pending expert system to develop an accurate base statistical forecast.
"Customers tell us they need collaborative, integrated demand management tools that improve forecasting accuracy and help reduce inventories without breaking the IT bank," says Andrew Krause, sales director at JD Edwards South Africa. "With a focus on ease of use, Demand Forecasting is designed to integrate seamlessly and provide accuracy and flexibility. These attributes make Demand Forecasting especially attractive to mid-market enterprises."
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Designed to optimise supply chain performance and enhance collaboration, JD Edwards SCM 9.0 will help companies maintain leaner inventories, lower working capital, increase profits and productivity, improve customer service and gain a competitive advantage. SCM 9.0, which includes new functionality for planning, order management, manufacturing and logistics, can be implemented modularly to allow customers to attain benefits quickly.
Integration with the rest of the JD Edwards 5 family of products ensures low total cost of ownership. In the coming months, JD Edwards plans to announce more details on additional applications comprising SCM 9.0.
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