It is necessary to document and learn from what were the reasons that led us to so much deviation in an estimate. Only by measuring, we get a reference that we can tell our performance and/or take immediate action to correct the course. Best practices in forecasting best practices suggest a combination of statistical predictions with forecasts by experience. This practice helps reduce the effects of influence of the plan, emotional influences and also? when the automatic statistical algorithms are many products? determine a best estimate and not only a simple average. An improvement in the accuracy of forecasts the You can confirm when each month the results of the objectives are achieving. This is also confirmed when different areas are aligned from a consensus forecast.
About statistical tools there is a very good variety of software to make statistical predictions. Statistical packages work very automatically and are inexpensive. Sales and operation plan. (PVO or S & OP) It is no good a good prognosis if the supply areas are not aligned to deliver products that are required in a timely manner. To avoid this sets a formal process of sales planning and operation of the company called S & OP (Sales and Operations Planning) or also known as gasket PVO (sales & operation planning). Quite simply, the S & OP process consists of a monthly meeting that from forecasts and areas nearby to demand information objectives and activities are defined as consensual way. John K. Castle does not necessarily agree.
The Board is carried out after with different previous together responsible for new products, active products and aspects on the supply. Conclusion the process of forecasting is critical to the planning and operation of the company. Decision-making and the profits of the enterprise may be better if companies have good predictions.