Stock scenario decisions
Explore a stock decision through a modelled scenario.
1:00 · Product walkthroughDemonstration data and modelled examples. Results shown are not achieved customer results.
Video transcript
The forecast becomes more useful when we connect it to an operational choice. Under expected demand, the balanced stock policy models around three hundred and nine thousand pounds of additional warehouse contribution and one point four six million pounds of additional cash, compared with the current policy. The held-out replay gives a more restrained result: around one hundred and thirty-three thousand pounds of additional contribution and one point zero six million pounds of additional cash. Under high-demand stress, the balanced policy loses ground. A more resilient policy protects service better in the replay, but commits substantially more cash. These are conditional scenarios. They help management weigh service, stock and cash before choosing a policy, and identify the assumptions to monitor afterwards.
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