What is forecast horizon in SAP CA-DDF-RT - Demand Data Foundation for Retail?

SAP Term: forecast horizon

• Component: CA-DDF-RT

• Component Name: Demand Data Foundation for Retail

• Description: The future time period for which forecasts are requested to be calculated. The forecast horizon starts on a specified start date and ends on a specified end date. The end date is always after the start date. The start date does not necessarily coincide with the run date, but it usually does. The run date, on the other hand, does not necessarily coincide with the last observation date seen within the demand data source selected.

Smart SAP Assistant

• Key Concepts: 
  Forecast horizon is a term used in the SAP component CA-DDF-RT Demand Data Foundation for Retail. It is the length of time that a forecast covers. This length of time can be determined by the user and is typically based on the user's business needs. 
  
  How to use it: 
  The forecast horizon can be set in the SAP system by navigating to the Demand Data Foundation for Retail component and selecting the “Forecast Horizon” option. The user can then enter the desired length of time for the forecast. 
  
  Tips & Tricks: 
  When setting the forecast horizon, it is important to consider the business needs of the organization. For example, if a company needs to plan for seasonal fluctuations in demand, they may want to set a longer forecast horizon than if they are only planning for short-term fluctuations. 
  
  Related Information: 
  The forecast horizon is closely related to other forecasting concepts such as demand forecasting and inventory forecasting. It is important to understand how these concepts interact with each other in order to create an effective forecasting strategy. Additionally, understanding how different forecasting techniques can be used in combination with each other can help create more accurate forecasts.