What is push based supply based?

Push-based supply chain management is a strategy where production and distribution decisions are made in advance based on forecasted demand. Companies produce goods in anticipation of customer needs and push these products through the supply chain to retailers or customers. This approach can lead to overproduction or excess inventory if forecasts are inaccurate, but it allows for greater efficiency in manufacturing and logistics when demand is predictable. In contrast, pull-based systems react to actual customer demand, minimizing excess inventory.