What is the primary objective of consensus demand planning?

The primary objective of consensus demand planning is to create a unified demand forecast. This approach brings together input from various teams, including sales, marketing, finance, and supply chain, to collectively agree on a single forecast. By integrating insights and perspectives from different departments, consensus demand planning helps to align strategies and expectations across the organization, leading to more accurate and reliable demand predictions. This alignment is crucial as it enables better decision-making, resource allocation, and planning, ultimately enhancing the company's ability to meet customer needs efficiently.

Having a unified forecast helps to mitigate the risks and discrepancies that can arise when departments operate in silos, ensuring all stakeholders are on the same page regarding demand expectations. This collaborative effort enhances responsiveness to market changes and improves overall supply chain performance.