This chapter contains the topic:
From Material Planning Operations (G34), choose Forecasting
From Periodic Forecasting Operations (G3421), choose Create Summary Forecast
Generate Summary Forecast allows you to test simulated versions of future sales scenarios without having to run full detail forecasts. You can use this program to simulate and plan long-range trends because this program does not update information in the Detail Forecast table, which is used as input to DRP, MPS, and MRP generation.
You can also use this program to:
Specify the summary code for the hierarchy for which you want to forecast.
Generate summary forecasts based on sales history.
Select a best fit forecast.
Store any or all of the forecast methods in the Summary Forecast table.
Generate the forecast in a fiscal date pattern you select.
If you use the default type codes in the system's processing options, the actual sales history records are indicated by type AA, and the best fit model is indicated by type BF. The system saves the BF type and AA records (or corresponding type codes that you designate) in the Summary Forecast table. However, the other forecast types 01 through 12 are not automatically saved unless you set a processing option to do so.
You can also choose to include actual sales orders in your forecast by setting the appropriate processing options when you generate the forecast table. Including actual sales orders enables you to consider current sales activity in the forecasting process, which can enhance forecasting and planning accuracy.
When you run Generate Summary Forecast, the system:
Extracts sales order history information from the Summary Forecast table
Calculates the forecasts using methods that you select
Determines the percent of accuracy or mean absolute deviation for each selected forecast method
Recommends the best fit forecast method
Generates the summary forecast in both monetary amounts and units from the best fit forecast
Note:
To generate summary forecasts for item quantities on all levels of the hierarchy, first generate a detail forecast. Next, run the Summarize Detail Forecasts program.