Moving goalposts Make sure the forecast is finalised and agreed within a set timescale.If you're spending a lot of time refining the forecast, it can distract you from focusing on your targets.
Moving goalposts Make sure the forecast is finalised and agreed within a set timescale.Tags: Essay On Corruption In Higher EducationFreshman Year College Experience EssayDissertation PhdDiscuss Literature ReviewCritical Thinking Activities In Patterns Imagery LogicEssay On Slaves LifeGood Way To Start A Narrative EssayEssay And RefrenceBest Creative Writing Courses LondonDissertation Work Plan Example
Every business can also add in the new customers that it expects to attract without actually knowing who they are, or what they will buy. Depending on your type of business, you may want to specify the volume of sales in the forecast - for example, how many 3.78-litre cans of paint you sell - as well as the value of sales.
By knowing the volume, you can plan the necessary resources in areas such as production, storage and transport.
Before you factor in a new product launch, or an economic trend, look at the level of sales for each customer last year.
Do you know of any customers who are going to buy more - or less - from you next year?
Every year is different so you need to list any changing circumstances that could significantly affect your sales.
These factors - known as the sales forecast assumptions - form the basis of your forecast.
By predicting actual sales, you're forecasting what you think will be sold.
This is generally far more accurate than forecasting from a target figure and then trying to work out how to achieve it.
Avoid making excessive adjustments to the forecast, even if you discover it's too optimistic or pessimistic.
No consultation Your sales people probably have the best knowledge of your customers' buying intentions, therefore: No feedback Having built your sales forecast, you need someone to challenge it.