Forecast tab

This tab displays forecast levels and simulation configuration used during the Strategic Inventory Planning (SIP) initialization.

These sections are displayed on the Forecast tab:

  • Forecast level
  • Simulation

Forecast level

The Forecast level section is used to define the forecast engines applied at each forecast level. You can select both forecast levels or a single forecast level. By default, both levels are selected.

You can specify this information in the Forecast level section:

Monthly forecast
Indicates whether monthly forecast is generated for the SIP.
Forecast engine
The forecast engine used for generating monthly forecast.
Note: By default, the value is this field is set to Best ML Combination monthly.
Periods
The number of periods generated for the monthly forecast.
Note: By default, the value is this field is set to 12 months and cannot be modified.
Weekly forecast
Indicates whether weekly forecast is generated for the SIP.
Forecast engine
The forecast engine used for generating weekly forecast.
Note: By default, the value in this field is set to Best ML Combination weekly.
Periods
The number of periods generated for the weekly forecast.
Note: By default, the value in this field is set to 52 weeks and cannot be modified.

Simulation settings

The Simulation settings section is used to configure default simulation settings applied during SIP simulations.

You can specify this information in the Simulation settings section:

Forecast from date
The date on which the first forecast is generated.
Policy
The policy used to calculate SIP forecast plans for the BA. Possible values:
  • Specified service level by item
  • Specified number of safety factors
  • Days cover
  • Fixed quantity
Note: By default, the value in this field is set to Specified service level by item.
Performance level
The performance parameter associated with the selected inventory policy.
Note: 
  • By default, the value in this field is set 95% when the Policy field is set to Specified service level by item.
  • For other policies, this field is blank and must be populated by the user.
Annual forecast to use
The annual forecast source used for SIP simulation calculations. Possible values:
  • Estimated annual usage from weekly engine
  • Estimated annual usage from monthly engine
  • Annual forecast from weekly engine
  • Annual forecast from monthly engine
Note: 
  • If Weekly forecast level is selected in the Forecast level section:
    • By default, the value in this field is set to Estimated annual usage from weekly engine.
    • This field does not populate options related to monthly forecast.
  • If Monthly forecast level or both Weekly forecast level and Monthly forecast levels are selected in the Forecast level section:
    • By default, the value in this field is set to Estimated annual usage from monthly engine.
    • This field does not populate options related to weekly forecast.
Standard deviation to use

The standard deviation source used in SIP simulation for variability and safety stock calculations. Possible values:

  • Standard deviation from weekly engine
  • Standard deviation from monthly engine
Note: 
  • The Standard deviation from monthly engine option is not displayed if only the Weekly forecast level is selected in the Forecast level section.
  • The Standard deviation from weekly engine option is not displayed if only the Monthly forecast level is selected in the Forecast level section.