Abstract :
Demand and replenishment are critically dependent on how effectively information systems are used and how well demand signals, batching rules and effective forecasting, are managed and converted into plans and procurement actions. The supply and inventory relationship are more concerned with what is actually made, where inventory is placed and how it is moved through the supply chain. A better understanding of the issues and strategies can be achieved by examining the many combinations of supply and demand and consider them as different scenarios. In this paper three scenarios are cited.