Sales Forecasting

Sales Forecasting:  every company forecasts whether they know it or not, whether it is formally or off-the-cuff.  But how good are those sales forecasts?  Could they be better?

Sales forecasts are essential to operating a business.  A knowledge of forecasting methods is essential for company managers, whether the company develops its own forecasting model or buys a software package.  The purpose of that knowledge is to insure that the company has the best possible system.  Some software packages (so say some experts) are not as good as they should be in some respects or some applications.  if you have a reasonable knowledge and a comprehensive reference, you will be better able to judge or develop a forecasting model.  Remember, that forecasting is the basis for effective planning.

These are tough times.  Forecasting thus becomes even more important.  Probably a combination of a mathematical model (not necessarily complex) and judgment may be the ticket.

One other thought:  are you taking those actions that will make you a more valuable employee?  A knowledge of forecasting methodology is an important asset.

Check out my book "Business Forecasting: A Practical, Comprehensive Resource for Managers and Practitioners" on Amazon.  Click on the title for information about the content.