A Study on the Effectiveness of Demand Forecasting in Arunnachala Impex Pvt Ltd

A Study on the Effectiveness of Demand Forecasting in Arunnachala Impex Pvt Ltd

GOKULRAJ M

Student MBA,School of Management Studies,Sathyabama Institute of Science and Technology Chennai-600119

Dr.KRISHNAKUMARI. S

Assitant Professor,MBA,School of Management Studies,Sathyabama Institute of Science and Technology Chennai-600119

ABSTRACT

This study investigates the demand forecasting techniques used by Arunnachala Impex Private Limited, Chennai, and evaluates their effectiveness in improving inventory management, production planning, and supply chain efficiency. Demand forecasting plays a vital role in predicting future demand based on historical data, market trends, and external factors, enabling better resource allocation and timely product availability. The research uses both primary data—collected through structured questionnaires and employee interactions—and secondary data from company records and industry literature. A sample of 120 respondents from departments such as supply chain, inventory, and operations was chosen through convenience sampling. Percentage analysis and chi-square tests were used for data analysis. The study finds that forecasting helps reduce inventory costs and improves efficiency, but is challenged by issues like inaccurate data and market fluctuations. The research recommends integrating AI-driven predictive models and real-time data systems to enhance forecasting accuracy and support strategic decision-making.

Keywords: Demand forecasting, inventory management, supply chain efficiency, predictive analytics, AI, operational planning, data accuracy.