Lead-time management collaboration

Step 2 - Create Joint Business Plan. In this step of the CPFR process, the entities (suppliers and buyers) exchange information about their corporate strategies and business plans in order to collaborate on developing a joint business plan. The partners first create a partnership strategy, and then, define category roles, objectives, and tactics. The item management profiles (e.g., order minimums and multiples, lead times, order intervals) for items to be collaborated on are established. 

Demand and supply management. A collaborative sales forecast projects the partners best estimate of consumer demand at the point of sale. This is then converted to a collaborative order plan that determines future orders and delivery requirements based on sales forecasts, inventory positions, and replenishment lead times. 

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