In sales and operations planning, external market intelligence is typically maintained in which type of file for forecasting and planning alignment?

Difficulty: Easy

Correct Answer: market forecast file

Explanation:


Introduction / Context:
Planning systems differentiate between externally sourced market intelligence and internal master data. External information such as industry demand indices, market growth rates, and macroeconomic assumptions typically feeds forecasting processes. Knowing where such data resides improves data governance and model traceability in MIS/ERP landscapes.


Given Data / Assumptions:

  • “External data” refers to information gathered from outside the enterprise (analyst reports, market surveys).
  • Files mentioned are planning artifacts, not raw transactional logs.
  • Customer master data is generally internal, not external.


Concept / Approach:
A market forecast file stores externally derived demand signals and assumptions that seed statistical forecasting or consensus planning. A forecast allocation file is commonly internal, splitting aggregate forecasts to lower levels (product/location/channel). The customer file contains internal master data (IDs, credit limits, terms). Thus, among the listed choices, external data best maps to the market forecast file where third-party or outside-in inputs are curated and versioned for planning cycles.


Step-by-Step Solution:

Clarify “external data” as outside-in market inputs. Match that to the file purpose: market forecast file. Eliminate forecast allocation file (internal apportionment) and customer file (internal master data). Select “market forecast file.”


Verification / Alternative check:
S&OP literature and ERP blueprints store syndicated data and analyst projections in market forecast repositories feeding demand planning, confirming the mapping.


Why Other Options Are Wrong:

  • Forecast allocation file: Applies internal allocation rules, not external intelligence.
  • Customer file: Internal master records, not external market assumptions.
  • All/None: Do not reflect the standard separation.


Common Pitfalls:
Mixing external drivers with internal allocations; failing to version-control market assumptions across planning cycles.


Final Answer:
market forecast file

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