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1.3.2 Developments in Forecasting Software

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Software packages have since moved on, with most, but not all, packages offering methods that are designed for intermittent demand. Croston's (1972) method, for example, was developed specifically for intermittent demand items, and is incorporated in statistical forecasting software packages (e.g. Forecast Pro), and demand planning modules of component based enterprise and manufacturing solutions (e.g. Industrial and Financial Systems, IFS AB). It is also included in integrated real‐time sales and operations planning processes (e.g. SAP Advanced Planning and Optimisation [SAP APO] and SAP Digital Manufacturing).

Similarly, more recent developments in demand categorisation (rules that distinguish between various types of demand patterns and signify when a pattern should be treated as intermittent) have also been adopted in some commercial software (e.g. Blue Yonder, Syncron International), allowing their clients the capability to achieve some dramatic inventory cost reductions (Research Excellence Framework 2014). However, the adoption of recent developments has not been widespread, and there are many software packages that have limited functionality. Overall, there have been rather minor improvements in commercial software since around 2000 despite some major improvements in empirically tested theory since that time.

Intermittent Demand Forecasting

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