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2A(3.2.2) Demand Planning
Strategic Sourcing Framework
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1A Strategic Procurement Framework
2A(0) Strategic Procurement Methodology
2A(1.1) Portfolio Analysis
2A(1.2) Commodity Group Classification
2A(1.3) Project Proposal
2A(2) Prepare And Engage
2A(3.1.1) Preparing For Stakeholder Engagements
2A(3.1.2) Identify Business Needs And Requirements
2A(3.1.3) Review Existing Sourcing Plans And Contract
2A(3.1.4) Collecting,Reviewing And Writing Specifi
2A(3.2.1) Spend Analysis
2A(3.2.2) Demand Planning
Currently selected
2A(3.2.3) Price And Cost Analysis
2A(3.2.4) Value Chain Analysis
2A(3.3.1) Supply Chain Analysis
2A(3.3.2) Supply Market Analysis
2A(3.3.3) Supplier Differentiation Assessment
2A(3.3.4) Identifying Potential Suppliers
2A(3.3.5) Risk Analysis
2A(4.3) TCO Analysis
2A(4.4) Opportunity Analysis And Ideas Generation
2A(4.5) Develop The Sourcing Strategy
2A(4.6) Desired Supplier Relationship
2A(4.7) Strategy Suitability Assessment
2A(4.8) Define Evaluation Criteria
2A(4.9) Business Case And Approval
2A(5.1) Plan Approach To Market
2A(5.2) Evaluation Model
2A(5.3a) RFx User Guide
2A(5.3b) Developing An Offer Template
2A(5.4) Market Approach Process And Timelines
2A(5.5) Market Approach
2A(5.6) Bid Evaluation Negotiation And Award
2A(6.1) Contract Transition
2A(6.2) Key Performance Indicators
2A(6.3) Service Level Agreements
2A(7.1) Contract Management,Administration And Close-Out
2A(7.2) Supplier Performance Assessment
2A(7.3) Benefits Tracking
2A(7.4) Review Sourcing Strategy
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Description
Demand planning is a multi-step operational supply chain management (SCM) process used to create reliable forecasts.
Understanding the specification and volume requirements from the business ensures that needs can be appropriately met and that resources are not being wasted.
Objective:
Demand planning is in essence a forward looking instrument to obtain a clear understanding of your organisation’s specification and volume
requirements to ensure that business needs and service delivery goals can be met and that resources are not being wasted.
Output:
A complete demand forecast
WHAT IS DEMAND PLANNING?
Effective demand planning can guide users to improve the accuracy of revenue forecasts, align inventory levels with peaks and troughs in demand,
and enhance profitability for a given channel or product.
Demand planning is in essence a culmination of understanding the relevant legislation that governs demand management in the
Public Sector and the needs analysis to support the strategic objectives of the organization.
It leads to the development, management and implementation of a procurement plan.
It further assists with compilation of specifications and/or terms of reference and evaluation criteria.
Understanding the specification and volume requirements from the business ensures that needs can be appropriately met and that resources are not being wasted.
Demand planning is not about reducing volumes, but rather ensuring that volumes are appropriate for meeting the needs and objectives of the organisation.
Demand planning is done to support the strategic objective of the organisation.
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