Demand planning can be defined as the process of forecasting likely future customer demand and inventory requirements in order to ensure that a business has the correct quantity of products at the right time. This process typically involves gathering data from multiple sources, such as industry trends and past sales records, and using those data points to inform predictions about future demand levels. Demand planning also involves looking at factors such as seasonality, competition, and pricing strategies in order to create an accurate picture of expected customer demand. By using this information to anticipate demands, businesses can optimise their processes and inventories more effectively.