May 2025
Good Morning, Good Evening, and Goodnight,
Welcome back to another market update, in this journal I’m going to talk about semiconductors in supply chain, along with how it is shaping the industry. The sole purpose for me to do this is to spark a conversation with you in the future and maybe gain perspective of your thoughts and strategies.
“Formal education will make you a living; self-education will make you a fortune”–Jim Rohn
In this journal I’m going to Daiiv into demand planning and technology that continues to innovate. This is the fifth journal for 2025, and I’m excited to share that all my journals are published on my personal website: Daiviksuresh.com
A direct link to all my journals is here: CLICK ME!
Warning: Market talk ahead. This is not financial advice; most investments carry a risk of losing some or all of the invested capital.
Supply chain Demand Planning
At its core, demand planning helps businesses make informed decisions in the present to prepare for future needs. This allows business to predict what customers will want, when they’ll want it, and how much, demand planning allows companies. Below are the different types of demand planning used:
Inventory Management (Understocking vs overstocking)
Production Scheduling (Procurement & Timely Delivery)
Resource Allocation (Warehouse space & Optimization)
Financial Planning (Budgeting & Expected sales)
The importance of demand planning has never been greater due to the increasing complexity and unpredictability of modern markets. But this journal isn’t just to inform you…its to see how technology will change the game of forecasting. The days of relying solely on spreadsheets are fading. Advanced Planning and Decision Support Systems are revolutionizing forecasting, making it faster, smarter, and more precise. Here’s how key technologies are changing the game:
- Artificial Intelligence (AI) and Machine Learning
- This can identify subtle, complex patterns and correlations that traditional statistical models often miss. The result is significantly more accurate demand forecasts, with many organizations reporting a dramatic reduction in forecast errors, sometimes by as much as 30-50%.
- Digital Twins
- Imagine a virtual, dynamic replica of your entire supply chain, from raw material suppliers to the end customer. Real-time simulation of your physical supply chain, incorporating data from every touchpoint…production lines, warehouses, transportation networks, and even retail shelves.
The last point I want to cover is how this will and is already affecting you! As consumer expectations continue to evolve, demand planning is moving towards an unprecedented level of personalization.
With the vast amount of data that is out there, some of your information is being used every day, this is nothing but individualized forecasting. This includes past purchases, browse history, social media interactions, and even wearable tech data. In this process mass customization models run to give you the algorithm that is best fit for you. What you see on your “for you page” will one day and if not already reflect your true desires. By predictive customer service, this will enhance how you consume, experience and purchase.
If you would like to contact me, please navigate through my website, and find the best way to connect!
Written By: Daivik Suresh
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