What is the significance of reviewing the consensus demand plan with stakeholders?

Reviewing the consensus demand plan with stakeholders is crucial for securing approval of demand planning assumptions. This process fosters collaboration among various departments, ensuring that all parties involved have a shared understanding of demand drivers and the assumptions that underlie the forecast. It allows stakeholders from different functions—like sales, marketing, and finance—to provide input based on their expertise, which can enhance the accuracy and reliability of the plan.

By reaching a consensus, organizations can align their strategies and expectations, thus minimizing the risk of miscommunication and misalignment later in the planning stages. Engaging stakeholders also helps identify any potential risks and opportunities that may not have been considered initially, leading to more informed and strategic decision-making throughout the demand planning process.

The other options—finalizing statistical forecasts, writing the supply plan, and managing changes in forecasts—are all important processes in demand and supply chain management, but they do not capture the primary purpose of stakeholder engagement during the review of the consensus demand plan, which is fundamentally to obtain approval of the key assumptions that drive demand forecasts.