Once plan values have been specified by the respective areas of responsibility, either in absolute figures or as percentages of previous periods, an automatic change of all linked values takes place immediately. Quantities of goods are therefore immediately distributed to locations and distribution channels according to a previously defined set of rules. Thus, at any time, across any planning hierarchy and the previously defined degree of granulation, planning is transparent and comprehensible.
Since purchasing planning is never static over planning periods, but rather "moving-targets", this is taken into account by a rolling plan/actual comparison. Depending on the availability and provision of KPIs, actual values can be imported periodically on a weekly, monthly or quarterly basis, for example, and visualized in comparison with the plan.
Deviations from long-term forecasts are often the result of factors such as changing consumer behaviour, short-term changes in trends, and even extraordinary influences such as weather, etc. In a further development of the PSR tool, AI will play an important role in planning and forecasting and will put planning targets in relation to such influences.
This rolling comparison enables the permanent control, identification and localisation of critical inventory levels. From this, the system can also make recommendations for countermeasures - be it replenishment planning, stock transfers or markdowns.
In this way, reductions in overstock risks can be achieved while at the same time highlighting margin and sales losses.