In this case study, the following questions are addressed:
1. Briefly describe the medium-term and short- term demand planning at tesa and make three suggestions for improving the planning process.
2. Evaluate the importance of sourcing at tesa. How can tesa hedge against uncertainty?
3. B...
1. Briefly describe the medium-term and short- term demand planning at tesa and
make three suggestions for improving the planning process.
Medium-term demand planning involves forecasting demand for a period of several
months to a year. It allows tesa to determine production capacity, resource allocation, and
inventory management strategies. By analysing historical data, market trends, and cus-
tomer insights, tesa can forecast future demand patterns accurately.
Short-term demand planning addresses immediate demand fluctuations within weeks to
months, enabling tesa to swiftly respond to market changes by adjusting production and
inventory. Tesa emphasizes operational demand planning, real-time inventory visibility,
agile planning and communication, and demand-driven replenishment.
Three suggestions for improving the planning process could be:
▪ Adopt advanced IT solutions like ERP for streamlined processes, accurate data in-
tegration, and enhanced forecasting.
▪ Regularly reviewing the planning process and making necessary adjustments is
important for improvement. Emphasizing data quality involves investing in error-
minimizing data collection methods, employing automated data capture, and
cleansing processes, and conducting regular audits.
▪ Foster collaboration and communication: Encourage cross-functional collabora-
tion between departments involved in demand planning, such as sales, production,
procurement, and logistics. Sharing insights, market intelligence, and aligning
strategies can lead to more accurate demand forecasts and better planning deci-
sions.
2. Evaluate the importance of sourcing at tesa. How can tesa hedge against uncer-
tainty?
Tesa's resounding success stems from its extensive global network of collaborative sup-
plier relationships. These partnerships enable market dominance through exceptional
product features, competitive pricing, and foster innovation. Leveraging partners
1
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