Tuesday, June 4, 2013

CSCP Sample Question 1 - Demand Management

Source: APICS CSCP Learning System

Which one of the following functional areas is primarily responsible for demand forecasting?
* Purchasing
* Executive team
* Sales and marketing
* IT

Guess anyone who's working on APO DP for a while knows the answers very well.





Correct: it's Sales and marketing
 Explanation:
Demand management relies on marketing because marketing is must provide input to the demand plan. This input is necessary because marketing and sales are the people who are closest to prospects and customers. At some organizations, marketing and sales are considered to “own” the demand plan, while at others, this is the role of the demand manager. At the very least, marketing and sales are typically considered responsible and accountable for forecasting.

1 comment:

Hai Zeng said...

Sales and Marketing input is important, but they are just a part of the final concensus forecast.
Depends on the business nature, some are more rely on the experience and real time or recent changes; but some might be more beneficial from scientific approach like Statistical forecasting.