Adjust Forecast Depending on LifeCycle
A demand planner is planning a product (for example, microprocessor chips) whose sales are significantly impacted by the product's lifecycle. First, he plans demand for the product without taking into consideration the effects of different lifecycle phases. He saves this first forecast in the row Baseline forecast. Now, he wants to incorporate a factor of, say, 1.4 into the demand for periods for which the product is live (that is, in its growth or maturity phases) and a factor of 0.8 into the demand for periods in which the product is not live (not in its growth or maturity phases). By executing this macro, the planner obtains the Final forecast which has been adjusted for different lifecycle stages.
For this example, please refer to the macro book SDP Book 9AEXAM VIEW (SALES DATA).