Dr. Chockalingam

Effective supply chain management demands both efficiency and precision. At Valtitude, we combine SAP Integrated Business Planning (IBP) with a sophisticated segmentation algorithm to classify products and the product-customer matrix. This structured approach enhances both demand modeling and inventory strategies, helping our clients meet market demands while optimizing resources. Strategic Segmentation for Better Planning Our proprietary algorithm segments products [...]

Continuing on our discussion of Demand Consensus, I want to contrast Demand Consensus and Demand-Supply resolution. Here is our model of the monthly S&OP Cycle. S&OP Planning Cycle from week 1 thru Week 5 starts with KPIs and Statistical Demand Baseline in the first week and ends with the Executive S&OP Meeting in Week 5. In week 1, Demand [...]

As we observed in other posts on Linked-In and forums such as Medium, there is a lot of confusion on what Demand Consensus means. Some first principles: Demand Consensus is not matching Demand with Supply; in fact trying to match Demand to supply is counter to everything S&OP stands for Demand Consensus is not agreeing with the Supply Planner [...]

How do you evaluate a sudden demand spike communicated by your Sales person within lead time? This was an unforecasted surge in demand. Most companies freeze the next month or next three months from Sales Forecasting input. Sales Managers are allowed to change forecasts only outside the three month demand horizon. I am not sure if this is a [...]

Amidst a dynamic business environment, selecting the most effective planning approach can significantly impact the success of your initiatives. Two prominent methodologies - Concurrent Planning and Traditional Sequential Planning have emerged as popular choices for optimizing project execution. As decision-makers, understanding the nuances of each method is vital for making informed choices that align with your organization's goals and [...]

In the fast-paced and ever-evolving global landscape, supply chain disruptions have become an inevitable challenge for businesses across industries. Whether caused by natural disasters, geopolitical tensions, pandemics, or unexpected events, these disruptions can significantly impact supply chain operations, customer satisfaction, and your company's bottom line. As decision-makers, it is essential to implement strategies that safeguard the resilience of your [...]

When calculating true demand, we need to classify the orders into the true month of demand – it depends on when your customers wanted the product. CRDD = Customer Requested Delivery Date is the most commonly used metric. But for the seller, this should be the actual ship date. Better yet, when the product should be available in inventory [...]

A year ago in May of 2020, Crude oil futures went negative to as low as -$37 a barrel. It actually meant people have to pay someone to take their oil. Are we looking at the opposite situation today? Will oil prices skyrocket given the block in the Suez Canal? With the back-up at the suezcanal and the jam, [...]

CPFR – Collaborative Planning, Forecasting, and Replenishment is on a resurgence in many companies now. This was a popular buzzword in the late 90s but now companies that sell to retail are finding the value in CPFR – the ability to get insights into customer’s inventory and sell-through at retail so they could drive intelligent replenishments to avoid stock-outs! [...]