In today's demanding business environment, "slow and steady" won't get you out of the starting gate, let alone win any races. Managers these days recognise that getting products to customers faster than the competition will improve a company's competitive position. To remain competitive, companies must seek new solutions to important Supply Management issues such as modal analysis, Supply Management, load planning, route planning and distribution network design, demand forecasting. Companies must face corporate challenges that impact Supply Management such as reengineering globalisation and outsourcing. In the present paper, all aspects of demand forecasting have been explained after a detailed study of the subject matter. The main focus of the paper is on developing knowledge of the concept of demand forecasting.