Question

Question: Term used to describe demand that is uncertain and needs to be forecast.

Short answer

Answer

Independent demand is used to describe demand that is uncertain and needs to be forecasted.

Step-by-step solution

Definition of Independent demand  

In independent demand, the demands for various items don't seem to be associated with one another.As an example, a workstation can produce many parts that aren't related but that meet external demand requirements to some extent.

Explanation

Theterm used to describe demand that is uncertain and needs to be forecasted isIndependent demand. To determine the quantities of independent items that have got to be produced, firms usually turn to their sales and research departments.

They use distinct techniques, including customer surveys, forecasting models, and economics in addition to sociological trends. Because independent demand is uncertain, extra units must be carried in stock. There are various models which will determine what number of units are required to be ordered, and how many extra units should be carried to reduce the danger of stocking.