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PRESENTED BY:-
          BHUBNESHWAR PANDAYA
According to D. Ericsson D.C.M. is a natural
next step in the evolution of the Supply
Chain Management concept based on the
necessity for adaption to changing external
and internal conditions and the availability of
new tools.
It involves
   Customer relationship management
   Extended supply chain management
 Supply  chains in response to demand signals
 Pull Technique
 Collaboration
 Four Level Model
         Reacting
         Anticipating
         collaborating
         Orchestrating
Companies have to deal with three condisions:
 Alignment ( create shared incentives)
 Agility (respond quickly to short –term
  change)
 Adaptability (adjust design of supply chain)
There are five commonly made
  misconception of DDSN.
1. Companies might think they are demand
    driven because they have a good forecast
    of their company.
2. They have implemented lean
    manufacturing.
3. They have great data on all their
    customers.
4. They think it is a technology project and
    the
corporate forecast is a demand visibility signal.
5. They have a better view of customers demand.
An important component of D.D.S.N. is D.D.M.
D.D.M. gives customers the opportunity to say
               What they want
                          where
                      and when
 Emphasis on consumer pull
 Out of stock situation
 Falsify data collected
 O.O.S. rate is 8%., under sales promotion
 30%
Corsten and Gruen gave key factor for lowering
  O.O.S.- rates:
 Data accuracy
 Forecast and order accuracy
 Order quantity
 Replenishment
 Capacity (time supply)
 Capacity (packout) and Planogram compliance
 Shelf replenishment
System support processes leads ti the new
technology Extreme transaction processing.
 Allows to process the huge amount of data
in real time providind information for store
managers, shelves managers and the supply
 chain.
Thank you

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Demand Chain Management

  • 1. PRESENTED BY:- BHUBNESHWAR PANDAYA
  • 2. According to D. Ericsson D.C.M. is a natural next step in the evolution of the Supply Chain Management concept based on the necessity for adaption to changing external and internal conditions and the availability of new tools.
  • 3. It involves  Customer relationship management  Extended supply chain management
  • 4.  Supply chains in response to demand signals  Pull Technique  Collaboration  Four Level Model Reacting Anticipating collaborating Orchestrating
  • 5. Companies have to deal with three condisions:  Alignment ( create shared incentives)  Agility (respond quickly to short –term change)  Adaptability (adjust design of supply chain)
  • 6. There are five commonly made misconception of DDSN. 1. Companies might think they are demand driven because they have a good forecast of their company. 2. They have implemented lean manufacturing. 3. They have great data on all their customers. 4. They think it is a technology project and the
  • 7. corporate forecast is a demand visibility signal. 5. They have a better view of customers demand.
  • 8. An important component of D.D.S.N. is D.D.M. D.D.M. gives customers the opportunity to say What they want where and when
  • 9.  Emphasis on consumer pull  Out of stock situation  Falsify data collected  O.O.S. rate is 8%., under sales promotion 30%
  • 10. Corsten and Gruen gave key factor for lowering O.O.S.- rates:  Data accuracy  Forecast and order accuracy  Order quantity  Replenishment  Capacity (time supply)  Capacity (packout) and Planogram compliance  Shelf replenishment
  • 11. System support processes leads ti the new technology Extreme transaction processing. Allows to process the huge amount of data in real time providind information for store managers, shelves managers and the supply chain.