Demand Forecasting Overview Demand forecasting uses historical sales data, seasonal patterns, and lead times to predict how much inventory you'll need and when to reorder. Chronic stockouts or overstock situations are usually a sign that reorder points are based on intuition rather than data. Purpose-built inventory planning tools handle this for most merchants — custom forecasting code is only necessary for unique operational requirements. When to Use This Skill - When chronic stockouts or overstock situations indicate that current reorder points are set incorrectly - When building automated…