[Shower Thoughts] Why do we Need to Forecast Inventory and not Demand?

Too Long; Didn't Read

Most companies use demand forecasting methods that are outdated 10-15 years ago: exponential smoothing, ARIMA, Moving Average, Holt-Winters method and others. They are not effective at solving the problem of inventory management for 94% of the product range and for almost all non-food products. With the help of probabilistic methods of forecasting the 4th generation, we can forecast the entire range of products up to Group Z. In the first part of this guide we will look at the following issues:Why do you need to predict inventory and not demand?