Efficient and responsive supply chains represent two different approaches to managing the flow of goods and services. Each approach has its own set of characteristics and priorities, which can affect forecast accuracy in different ways.

Efficient Supply Chain: Forecast accuracy is typically higher in efficient supply chains because they prioritize stability and consistency. Since the emphasis is on minimizing waste and maximizing efficiency, accurate forecasts are essential for planning production schedules, managing inventory levels, and optimizing resource allocation.

Responsive Supply Chain: Forecast accuracy may be lower in responsive supply chains compared to efficient ones because they prioritize agility over precision. Since the focus is on quickly responding to changes, such as sudden spikes in demand or shifts in market trends, forecast accuracy may take a backseat to the ability to adjust plans and operations rapidly.