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Problem

Suppose you were to be assigned to develop a sales forecast for tempered glass to be used in office buildings in Singapore. What are the major steps you might take to get to an acceptable forecast?

Step-by-step solution

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Step 1/3

Sales forecasting can be referred to as the estimation of future revenues of a particular sales unit. It can be done on a monthly, quarterly, or annual basis.

Step 2/3

The following are the steps taken to get an acceptable forecast:

• Defining market segments is important to develop market potential. Both markets, as well as sales forecasts, must be considered. It can include several workers in the market, their administrative as well as desk workers, and the amount spent on each worker. It can also include the share of the company and its potential in the territory.

• Analysis and the use of the Delphi technique – it helps in obtaining consensus based on expert opinions. The process can be further made affordable as well as the least time taking by using it online.

• Input from experts in the form of executive judgment. This will help in the development of the final forecast.

Step 3/3

As stated above, these are the steps taken to obtain an acceptable forecast.