Although, many key decision makers in the pharmaceutical industry lack knowledge about the essentials of supply chain management. At PDS, we absolutely acknowledge that in fully understanding pharmaceutical demand management, we end up with improved coordination among organizational units, resulting in greater stability in the production plan. Forecasts at each separate location are often the least reliable; through aggregation, a more credible forecast can be generated. AT PDS we look at multiple products of a similar type across all locations, as a result a brand level forecast can be generated, further reducing variability and forecast error.

Implementing a good, systematic forecasting process is the foundation of a sound supply chain planning infrastructure. The benefits include: 
•    Reliable forecast.
•    Greater stability of plans.
•    Higher customer service levels.
 

In the pharmaceutical industry, demand management is critical to a successful operation. Demand management includes demand forecasting and planning, distribution inventory planning, and plant capacity planning and scheduling. These activities help ensure that items are produced at the right time and delivered to the right place when they are needed. The proper mix of strategy, education, and systems greatly affects a manufacturer's overall operations and bottom line. Planners are often frustrated by the quality of the forecasts they receive from their sales and marketing organizations. Sometimes, planners override the marketing forecast and use their own judgement. While this is sometimes effective, it means that marketing and planning are not working to a coordinated plan