The 7-F’s of Demand Management is based on a few simple ideas:

1. Identify opportunities to balance inputs and outputs
2. Enter orders based on reality
3. Release orders to fulfillment at the last possible moment
4. Finish what is released in the order it is released.

When used in combination Lean the 7-F's streamlines a manufacturing or distribution companies demand fulfillment process by eliminating non-value added steps and coordinating front end office activities with back end fulfillment activities.  Over time, I will be expanding on each "F" in our Wiki.  In the meantime, if any are vague, please feel free to contact us:

1. Formulate the Rules: Apply the 80-20 rule, categorization, and other common sense rules to determine the basis to which demand will be entered and fulfilled. If available, use methods to visualize demand and capacity to promote informed decision making. Identify customer related ordering issues and supplier related fulfillment issues and implement methods to balance inputs with outputs.  Determine the size of the period buckets and lead times. 
2. Forecast Demand: The current capabilities of the organizationare compared against a short and long term forecast of the market(s) the company serves or wants to serve.  This can be done at a macro level or at the granular item level.  In certain cases, a lead time based forecast process can be used to generate order replenishment requirements.
3. Fill the Buckets: Enter customer requests with appropriate delivery dates based on the rules established above.  The dates must be based on the truth.  Often times companies will say yes to customer orders even though they know they will not be able to meet the delivery.  It is perceived that it is easier to say yes and deal with the repercussions later than say no and work to establish an acceptable compromise that can be met 100%.  In addition, the process must allow a customer the opportunity to change their order requirements within reason up to the point of release. 
4. Figure the Release: The process of production and sales working together to decide what is to be released for production with the goal of optimizing the mix. The understanding is that once the items are released the due dates may not be changed. Consideration for key customer drop ins and production performance are included. Often companies will release orders indiscriminately which increases WIP and causes traffic jams in the fulfillment process.  An item should be released at the last possible moment with the goal of promoting on time performance and throughput. Remember, you are only as fast as your slowest step. Assure material, manpower, and machines are available.
5. Focus on Speed: Follow a process that promotes fulfillment in batches of one or a few at time in a continuous manner.  Apply lean methods to further reduce WIP and increase the speed of fulfillment.
6. Finish What is Started: The fastest way to expedite is to finish what is started in the order of release,  No starting and stopping.  Follow the established rules, roles, and responsibilities.
7. Frequent Communication:  Measure performance regularly and use the data for decision making that promotes continually improving performance.  Post data for all to see.  Actively communicate through organized meetings and other methods to promote performance and continuous improvement.