What does the Demand table provide information about?

The Demand table is a crucial component in supply chain management as it consolidates valuable data regarding demand. This table provides insights into both independent and dependent demand information.

Independent demand refers to the demand for finished goods and final products that is not directly influenced by other items in the inventory. In contrast, dependent demand pertains to the demand for components or materials that are derived from the production of independent items. By including both types of demand, the Demand table allows for a comprehensive view of what is needed to meet customer demand, as well as how this demand is connected to the requirements of the components that support the production of those finished products.

Having access to both independent and dependent demand figures enables better planning, forecasting, and inventory management. This helps organizations in efficiently aligning their supply levels with customer demand while minimizing excess stock or shortages in the supply chain.