Forecasting Systems are used for Supply Chain Management
Forecasts are reviewed at the end of each month on an exception basis. Items are considered for re-forecasting whenever the difference between forecasted and actual sales is +/- 20% for the month or year to date. Forecasts may be modified at any time upon the occurrence of significant activity, client requests or notification of unplanned requirements.
Supply Chain Management is used to assure that uniforms are “on the shelf” when clients need them. To accomplish this requires due diligence in the following areas:
Sales Forecast Management
Production Planning and Scheduling
Sales Forecast Management is carried out through the collaboration of our customer, account managers and forecasting experts. The forecasting tool is a software program which offers numerous forecasting aids which considers 41 months of history and provides a choice of 20 forecasting models based on historical precedents which will automatically suggest a forecast. Generally, unit forecasts are spread by item and by size using the specific history for each client and trend or patterns in the history. For new clients, models are created to simulate the expected results.
Forecasts may be modified at any time upon the occurrence of significant activity, client requests or notification of unplanned requirements. Our overseas forecasting managers have the responsibility to maintain, review and update forecast data.
Production Planning A “Supply Chain Management” (SCM) Team is charged with the responsibility for Production Planning and Scheduling. They use a software system for demand planning. The system is used for planning production, factories and subcontractor plants.
Each week the system generates planning reports for Production Planners and Buyers. These reports are used to issue Production Orders or Purchase Orders.
The system plan is the main component for conducting capacity planning. Regular capacity review meetings are held with the objective to insure that there is an alignment between resources available to meet target inventory and service level objectives.