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How Nintendo's forecasting miscues led to 3DS shortages

WTC: BACK UPDHL: SUPPLY CHAIN LEADS BUT FORWARDING LAGSDSV: BOND PACKAGECAT: INVENTORY RANGECAT: CHINA STIMULUS VIEWCAT: SLUGGISH CYCLE HITSCHRW: STRONG INTERIMSDHL: GUIDANCE UPDATEXPO: EARNINGS BEAT VALUE ALIGNMENTXPO: MORE ON ELASTICITY OF DEMAND VS PRICEXPO: DIVESTMENT ON THE RADARXPO: YELLOW TAILWINDXPO: OUTLOOKXPO: CONF CALLDSV: STRONG TRACTIONCHRW: CHICKENS COME HOME TO ROOSTMAERSK: AHEAD OF NUMBERSXPO: STRONG RELEASE XPO: RALLY MODE ON

WTC: BACK UPDHL: SUPPLY CHAIN LEADS BUT FORWARDING LAGSDSV: BOND PACKAGECAT: INVENTORY RANGECAT: CHINA STIMULUS VIEWCAT: SLUGGISH CYCLE HITSCHRW: STRONG INTERIMSDHL: GUIDANCE UPDATEXPO: EARNINGS BEAT VALUE ALIGNMENTXPO: MORE ON ELASTICITY OF DEMAND VS PRICEXPO: DIVESTMENT ON THE RADARXPO: YELLOW TAILWINDXPO: OUTLOOKXPO: CONF CALLDSV: STRONG TRACTIONCHRW: CHICKENS COME HOME TO ROOSTMAERSK: AHEAD OF NUMBERSXPO: STRONG RELEASE XPO: RALLY MODE ON

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© Antonio Jodice | Dreamstime.com - Nintendo 3ds Thank you for Playing
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Interesting insight from SupplyChainDive on how Japanese games giant Ninetendo got its sales forecasting for first its 3DS model, and then its 3DS XL model completely wrong. Each time it sought to adjust its forecasts, it managed to amplify its errors. “Forecasting is an inexact science. As a result, supply chain managers are used to frequently adjusting their predictions to better meet supply and demand counts. But Nintendo’s example shows the dangers of overcorrection.”

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