Istanbul Gelisim University Faculty of Engineering and Architecture: Bulletin (July 2026)

Abstract

THE UNSEEN POWER İN THE SUPPLY CHAİN: WHY İS DEMAND FORECASTİNG SO IMPORTANT? In today ' s competitive business world, delivering the right product to the customer at the right time and in the right quantity has become a strategic advantage for businesses. At the heart of this success lies demand forecasting. Demand forecasting, one of the most important areas of study in Industrial Engineering, forms the basis of data-driven decision-making processes that enable businesses to look to the future with more confidence. Demand forecasting aims to predict future demand by analyzing many different data points such as past sales data, seasonal changes, economic indicators, and customer behavior. Thanks to accurate forecasts, excess inventory and product shortages are reduced, production plans can be prepared more effectively, and the supply chain can be managed more efficiently. In addition to traditional statistical methods, artificial intelligence and machine learning-based forecasting models have also been widely used in recent years. These technologies can reveal complex demand patterns by analyzing large datasets and significantly increase forecasting accuracy. Data-driven demand forecasting systems are among the critical tools that increase the competitiveness of businesses, especially in the retail, e-commerce, healthcare, automotive, and electronics sectors. Industrial engineers not only forecast demand but also integrate these forecasts with production planning, inventory management, capacity planning, and logistics processes, helping businesses utilize their resources in the most efficient way. This reduces operational costs and increases customer satisfaction.