Benchmarking Demand Planning, Forecasting, and S&OP Practices in the Aerospace/Aviation Industry

IBF Research Report #9

This is a highly specialized study in which we have benchmarked demand planning, forecasting, and S&OP practices in the Aerospace industry. Although there are not too many players in this industry compared to other industries such as CPG, its role in the economy is quite significant with a multitude of commercial, industrial and military applications. The study is based on the survey of 12 companies in the field, conducted in March 2010. The list of participants is given in Appendix A.

Overview of the Aerospace Industry
Q 1 | Rank From 1 to 6 (1 Being Most Important, 6 Being Least) the Key Priorities and Benefits From Your S&op Process
Q 2 | How Much Time Does It Take for Your S&op Cycle to Complete?
Q 3 | What Drives Your S&op Process? Is It Driven by Sales Forecasts, Operations Budget or Both?/li>
Q 4 | What Is Your Inventory Turns?
Q 5 | How Many Days of Inventory Do You Hold?
Q 6 | What Is Your Order Fill Rate (%) to Customer Request (at the Time of Order Entry)?
Q 7 | What Is Your on-time Delivery in Full (%) to Customer Request?
Q 8 | How Often Do You Monitor Inventory Performance?
Q 9 | How Far Ahead Do You Forecast?
Q 10 | Which Forecasting Models Do You Use?
Q 11 | Do You Use Different Models for Different Product Families?
Q 12 | How Often Do You Monitor Forecast Performance?
Q 13 | How Often of Do You Update Your Forecasts?
Q 14 | What Is Your Average % Percent Forecast Error (Mape)?
Q 15 | Which Tool Do You Use for Demand Planning?
Q 16 | Which Mrp Tool Do You Use?
Appendix