Budget vs. Revenue; Demand vs. Supply 🐟💧

How does COVID19 impact business demands? Rising up from damage raises demands.

How does COVID19 impact ATP?
The damage leads to constraints. Constraints lead to a tight budget.

How does COVID19 impact CTP?
This is a fake question. CTP is always determined by human choices, just like businesses always pursue higher revenue.

The gap between ATP and CTP is for humans to observe opportunities, to innovate, to create new, to implement change, to transform.

For society, look at rising industries.
For industries, look at leading technologies.
For technologies, look at golden proposals.
For proposals, look at inspiring talents.
For talents, look at uplifting society.

It is a harmonized cycle. Everything is connected.

My years working in the supply chain were a happy journey filled with learning and possibilities.

At that time, my focus was on how to reflect MY “two supply chains” to achieve better performance. One is the physical chain with the material, products, machines, logistics, customers, engineers, processes performing on the systems. Another one is the virtual “nervous system” embedded in processes and infrastructures, from demand data fetch in, flow through planning, production, shipping, till billing.

Demand represents the goals we targeting to achieve. An accurate forecast of demand makes the goal targetable.

Supply: supply chain uses two important terms in practicing for better fulfillment: ATP(availability-to-promise) and CTP(capacity-to-promise).

When demand is constantly changing or high, and ATP is constrained by existing materials, CTP plays a critical role in the supply chain to positively respond to better demand fulfillment.

Thinking outside the box, in our businesses and organizations, is it valid to adapt this Forecast vs. ATP/CTP analysis? The key is how we positively shape our CTP – capacity. It is totally up to our desire, imagination, and creativity.


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