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Demand Management
Engr. K M Sabbir Noman
November 2019
What is Demand Management?
 Demand Management is a lean tool used to
identify all demand coming from an external
environment, manage it, & input it into a SC
within a company.
 Demand management is a planning methodology
used to forecast, plan for & manage the demand
for products & services.
The Goal of Demand Management?
Demand Management has Three Primary Goals:
 Improve forecast accuracy.
 Lessen investment in inventory.
 Create a more effective balance between
supply & demand.
What is Demand Chain Management?
Demand Chain Management (DCM) is the
management of relationships between suppliers
and customers to deliver the best value to the
customer at the least cost to the demand chain as a
whole. Demand chain management is similar to
supply chain management but with special regard to
the customers.
Demand Management Strategy
 MTS
 MTO
 ATO
 ETO
What are the different types of demand?
 Individual and Market Demand
 Organization and Industry Demand
 Autonomous and Derived Demand
 Demand for Perishable and Durable Goods
 Short-term and Long-term Demand (Classification
of demand on the basis of time period)
How is Demand Management implemented?
 Creating more transparent Supply Chain by
ensuring transparency from all suppliers
working with a company (Largest to the
Smallest).
 Companies must determine, which inventory
is unnecessary and can be reduced.
Demand Management Overview
Thank
You!!!
Demand Management
Demand Management

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Demand Management

  • 1. Demand Management Engr. K M Sabbir Noman November 2019
  • 2. What is Demand Management?  Demand Management is a lean tool used to identify all demand coming from an external environment, manage it, & input it into a SC within a company.  Demand management is a planning methodology used to forecast, plan for & manage the demand for products & services.
  • 3. The Goal of Demand Management? Demand Management has Three Primary Goals:  Improve forecast accuracy.  Lessen investment in inventory.  Create a more effective balance between supply & demand.
  • 4. What is Demand Chain Management? Demand Chain Management (DCM) is the management of relationships between suppliers and customers to deliver the best value to the customer at the least cost to the demand chain as a whole. Demand chain management is similar to supply chain management but with special regard to the customers.
  • 5. Demand Management Strategy  MTS  MTO  ATO  ETO
  • 6. What are the different types of demand?  Individual and Market Demand  Organization and Industry Demand  Autonomous and Derived Demand  Demand for Perishable and Durable Goods  Short-term and Long-term Demand (Classification of demand on the basis of time period)
  • 7. How is Demand Management implemented?  Creating more transparent Supply Chain by ensuring transparency from all suppliers working with a company (Largest to the Smallest).  Companies must determine, which inventory is unnecessary and can be reduced.