ABSTRACT
This chapter describes how to exploit the relationships to improve supply chain planning and production processes. It addresses the subject of sponsorship-which supplies chain participants-retailers, distributors, and original equipment manufacturers (OEMs)-are best positioned to lead the transition from forecast-driven to demand-driven. The chapter uses the model in to describe how a company might develop a vision and project a plan for implementing the demand-driven supply chain. It describes the implications of product types, how to address barriers, and the path to move from forecast-driven to demand-driven. The chapter addresses the product design characteristics that support increasing the chain's demand-driven percentage. It also describes process improvement tools that complement postponement and 3C and make retail supply chains better able to handle seasonal and other special circumstances. The chapter provides an overview of common process capability terms and addresses their importance in the demand-driven supply chain.
