Question

what does forecasting mean to managers?

Answer 1

Managers have to make decisions for everyday operation in the business. They need to plan and strategise every step to achieve the goals and objectives. For this crucial role, they need to have an insight into the situations and challenges they will face in the time ahead. Forecasting helps in providing them with this insight. It gives them the past data and information for the future which they can use to design the present activities. It can help in better financial planning, resources allocation, targeted marketing, better production management and many other such advantages to managers of different departments. It helps the managers to provide a direction and guideline to the other employees for setting their practices. They can have a solid foundation to provide to the top officials for justification of the decisions he made as they are based on the forecasted reports. Hence with forecasting, the managers can make a balance in their decisions, operations and productive work culture.