Critical Review of Demand Forecasting Tools Commercially Available

Demand forecasting is a critical function that supports planning, procurement, inventory
management, and overall supply chain efficiency. As markets become increasingly uncertain,
organizations rely on forecasting tools to interpret historical trends and anticipate future
demand. Over time, forecasting practices have shifted from basic spreadsheet-based methods
to advanced commercial tools such as SAP Integrated Business Planning (SAP IBP), Oracle
Demand Management Cloud (Oracle DMC), and other analytical platforms. However, the
actual adoption, usability, and effectiveness of these tools vary across industries due to
differences in data quality, workforce capability, and organizational readiness.
This dissertation provides a critical review of commercially available forecasting tools using
authentic primary data collected across FMCG, Retail, Education, Logistics, and related
sectors. The study focuses on understanding which tools are commonly used, how frequently
they are applied, and what challenges practitioners face during forecasting activities. Based
on the collected dataset, Microsoft Excel, SAP IBP, and Oracle DMC emerged as the most
widely used tools and were evaluated in detail.
The findings show that Excel remains the most preferred tool due to its simplicity and
accessibility, while SAP IBP and Oracle DMC offer structured planning, automation, and
better integration with enterprise systems. Respondents also reported challenges such as tool
navigation difficulties, data inconsistencies, and limited user training. The study concludes
that tool effectiveness depends not only on technological features but also on user
competence, data discipline, and organizational support. Recommendations are provided to
improve forecasting accuracy and enhance tool usability.