What is demand management in SAP MM-PUR-SRC - Product Sourcing?

SAP Term: demand management

• Component: MM-PUR-SRC

• Component Name: Product Sourcing

• Description: A feature that is used to plan which quantity of an item that is referenced from a procurement project will be approximately needed for production in which plant per year.

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• Key Concepts: 
  Demand management is a component of the SAP MM-PUR-SRC Product Sourcing module. It is used to plan and manage the demand for materials and services in an organization. It helps to ensure that the right amount of materials and services are available at the right time and at the right price. 
  
  How to use it: 
  Demand management in SAP MM-PUR-SRC Product Sourcing can be used to create and manage demand plans. These plans can be used to forecast future demand for materials and services, as well as to monitor current demand. The demand plans can be used to generate purchase orders, which can then be sent to suppliers. 
  
  Tips & Tricks: 
  When creating a demand plan, it is important to consider factors such as seasonality, customer demand, and supplier availability. It is also important to ensure that the demand plan is regularly updated with new information. 
  
  Related Information: 
  Demand management is closely related to other components of the SAP MM-PUR-SRC Product Sourcing module, such as procurement planning and supplier evaluation. It is also related to other SAP modules, such as Materials Management (MM) and Sales & Distribution (SD).