An MNC found that as it introduced new SKUs it did not have a way of accurately forecasting sales of its existing and new SKUs. Moreover, the distributors and wholesalers did not have clear guidelines for buying new SKUs

Approach

• We looked at past trends and other variables and used the Models to work out a system of forecasting sales
• We also developed a way of forecasting optimal shipments by taking into account the inventory with trade

Outcome

• 90% forecast accuracy for old and new SKU's
• Specific guidelines for trade in buying new introductions