Häufig gestellte Fragen
What does Demand-to-Supply (D2S) mean?
Demand-to-Supply (D2S) refers to the continuous end-to-end process that extends from capturing and forecasting market demand, through planning material and capacity, to on-time supply and delivery. "Demand" stands for the demand side, "Supply" for the supply side, and the goal is a balanced relationship between delivery capability and tied-up capital. D2S is therefore not a single software function but a process perspective that coordinates sales, planning, procurement, production and logistics on a shared data basis. The specific form it takes varies depending on the industry, manufacturing type and customising depth of the respective ERP setup.
How does Demand-to-Supply differ from Order-to-Cash?
Demand-to-Supply focuses on the supply side, i.e. the path from forecast demand through planning to the physical delivery of goods. Order-to-Cash, by contrast, covers the commercial order processing from order acceptance through invoicing to receipt of payment. In practice, both process chains run in parallel and interlock, but they pursue different priorities: D2S ensures the provision of the goods, Order-to-Cash the financial settlement of the customer order. In an integrated ERP system they share the same master and transaction data, such as stock levels, orders and delivery dates.
What role does an ERP system play in the Demand-to-Supply process?
An ERP system is the natural home for Demand-to-Supply, because this is where the data from sales, purchasing, production and warehousing converges and can be netted against each other. Only this shared data basis makes it possible to pass demand fluctuations through to procurement and manufacturing decisions without media breaks. Core methods such as material requirements planning (MRP) and availability checking (Available-to-Promise) build directly on this integrated data. Without this integration, duplicated data maintenance, inconsistencies and delayed reactions to demand changes arise.
How are MRP, gross requirements and net requirements related to Demand-to-Supply?
Within D2S, material requirements planning (MRP) is the method that translates forecast demand into concrete purchasing and production proposals. First, the gross requirement is determined, i.e. the total derived requirement for components without taking existing stock into account. The system then deducts available warehouse stock and purchase orders already open, arriving at the net requirement that actually has to be procured or produced. If, for example, 200 tyres are needed for 100 bicycles and 50 are in stock, the net requirement is 150 units – the supply side of D2S builds on this logic.
How does Demand-to-Supply help against the bullwhip effect?
The bullwhip effect describes how small demand fluctuations amplify into ever larger ordering swings along the supply chain, above all through delayed or misinterpreted demand signals and a lack of information exchange between the tiers. A well-coordinated D2S process counteracts this by connecting forecasts, order books and supply data in one continuous chain instead of viewing them in isolation. Current demand signals thus become more transparent and are incorporated into planning more quickly, which reduces excessive precautionary ordering. The effect cannot be avoided entirely, however, since external factors such as replenishment lead times and lot sizes also play a part.
How does Demand-to-Supply relate to Sales and Operations Planning (S&OP)?
Sales and Operations Planning (S&OP) is a coordination process, usually run monthly, that reconciles demand forecasting and supply planning at an aggregated, tactical level over a rolling horizon of often around 18 to 24 months (longer in some industries). Demand-to-Supply then implements these targets at the operational execution level, i.e. in the concrete requirements calculation, procurement, manufacturing and delivery. S&OP thus provides the planning framework and the consensus decision on the balance of supply and demand, while D2S ensures end-to-end realisation in day-to-day business. Ideally the two levels interlock, so that strategic planning and operational supply do not drift apart.
Does the Demand-to-Supply process look the same for make-to-stock and make-to-order production?
No, the stages of D2S are not a rigid template; their emphasis shifts depending on the business model and manufacturing type. In stock-oriented series production (make-to-stock), statistical demand forecasting dominates, because goods are produced and stocked before concrete customer orders exist. In order-driven one-off or variant manufacturing (make-to-order), supply instead starts more strongly from the specific order, and methods such as Available-to-Promise gain importance for delivery-date commitments. Which form fits therefore depends more on the business model and manufacturing type than on any general range of ERP functions.