What is Demand Forecast in ERP (SAP)

Demand Forecast Definition in ERP

Demand forecast:-

Demand forecast is a date wise prioritization of estimated customer orders for the planning period.

• The earliest demand forecast for any planning period is issued two months in advance and is called the Tentative Demand Forecast. (e.g. the Tentative Demand Forecast for the month of August is released by the 25th of June). 
• Tentative Demand Forecast is revalidated and released as the Firm Demand Forecast, one month in advance of the planning. (e.g. the Firm Demand Forecast for the month of August is released by the 25th of July).