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The challenge is not only to come up with the future demand and the efficient manufacturing design but also to beat the lead times in between the chains in the systems. The errors can be costly in this process. Overshooting in the forecasts will result in inventory costs in the factory, where underestimating will cause late orders, extra labor costs, missed sales opportunities, stockout costs, and even production close downs due to the lack of raw materials since not being ordered on time. Moreover, as the variety and the lifetime cycles of the products increase, (lifetime cycles actually decrease) the process becomes even more sophisticated since now you need to know the production queues and where to stop producing a certain type in addition to the challenge of knowing the right numbers to produce...
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Common topics in this essay:
- Decision Making Process: Improving Our Ability to Make Decisions
- Forecasting
- Forecasting
- Forecasting
- Forecasting
- Forecasting
- Forecasting
- forecasting
- Importance Of Supply Chain Management In Modern Businesses
- Importance of Supply Chain Management
- Market Forecasting - Woolworths
- IMPORTANCE OF FORECASTING AND CONTROLLING ERRORS
- forecasting
- Modelling of Supply Chain for Financial and Pricing Decisions
- Supply Chain Management System
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