Gartner predicts that by 2026, “90% of supply chains will still be demand-driven (aka forecast-accuracy-driven), significantly impacting their overall performance” (Gartner Maverick Research: ‘Demand-Driven’ Is Deadly to Your Supply Chain, 2021, Tim Payne). Supply chain plans can no longer be rigid and fragile. It’s time to break free of this paradigm. This special Gartner report discusses the legacy of Material Requirements Planning (MRP) and why conventional approaches are now detrimental to supply chain resilience.
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- Compelling arguments against deterministic planning
- Next steps you can take to adopt a new approach, including the use of scenario modeling
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Tools to embrace the new paradigm
With AIMMS, you can break free of the deterministic approach and embrace the new world of planning. AIMMS Network Design helps you deliver a resilient network to meet a variety of demand scenarios and stay agile as things come up. It provides you with faster insights to improve key issues like cost reduction, better service levels, agility and resilience leading to ~ 2-5% logistics cost savings.
Why Supply Chain Design Tools Are Now Essential To Boost Resilience
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This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document.
The Gartner document is available upon request from AIMMS. Gartner, Maverick* Research: ‘Demand-Driven’ Is Deadly to Your Supply Chain, April 21, 2021, Tim Payne