Forecasting used for business future prediction. Presentation is fully about the forecast future prediction, Hope so you Like my Presentation. Thanks to watching this Presentation.

1. Topic
Forecasting

2. Topics
•What is forecast
•Elements of the forecasting
•Steps in the forecasting
•Approaches to the forecasting

3. What is Forecasting
• Forecasting is the future prediction on the behalf of
situation.
• Forecasting is the basis process of the business planning,
planning is the integral part of any business.

4. Basis of Forecasting
• Current Situation/Current Factors
• Past Experiences/Past Factors

5. Common Feature’s
• Experience
• The same will be done
• Prediction about the future

6. Common Features
CONT…
• Group of item may be more accurate into the
individual items
• Forecasting accuracy: high accuracy to produced good
and services in low time that use more forecasting.

7. Elements of the
Forecasting
• Timely Forecasting
• Accurate Forecasting
• Measureable Forecasting

8. Elements of the
Forecasting CONT…
• Reliable Forecasting
• Easy to use
• Cost Effectiveness

9. Steps in Forecasting
• Purpose of forecasting
• Established time horizon
• Select of forecasting technique

10. Steps in Forecasting
CONT…
• Prepared of forecasting
• Monitor of the forecasting
• Gather & Analysis data

11. Approaches of the
Forecasting
 Quantitative Technique: Use more data & more time.
 Judgmental Technique: A subjective analysis of subjective
input.

12. Approaches of the
Forecasting CONT…
 Associate Model: Use explanatory variables to predict the
future analysis.
 Time Series Technique: Historical data use for the future
forecasting.

13. Quantitative Technique
• Qualitative Technique
• Subjective Impact

14. Judgemental Forecasting
Judgemental forecasting is uses subjective inputs, to
Implement a systematic approach & justify the data. A
separate forecaster and user.

15. Judgemental Forecasting
 Executive Opinion: Decision will take upper level of managers.
 Sale force Opinion: Upgrade the level of sales.
 Consumer Survey: To survey the consumer need & what they
want.

16. Judgemental
Forecasting CONT…
 Delphi Method: The method relies on the key assumption
that forecast from a group are generally more accurate then
those from individual.
 Outside Opinion: Financial & consulting gurus &
companies.

17. Judgemental Forecasting
CONT…
 Opinion of manager & staff: A series of Questionnaires
developed sequentially.

18. Associative Model
The technique is use for exploratory series for forecast for future
predict demand.
• Predictor Variable: Is independent variable.
• Predicted Variable: Is dependent variable.
• Regression: It’s a technique.

19. Forecast based on time
series
The time series forecasting on the behalf of past basic behaviours, “There are some variations”:
•Trend Variation
•Seasonal Variation
•cyclical Variation
•Irregular Variation
•Random Variation

20. Trend Variation
•Trend Variation are basically long term variation .
•Movement of trend depend on time .

21. Trend Variation

22. Seasonal Variation
Seasonal Variation is basically short term, depend on
business type.

23. Seasonal Variation

24. Cyclical Variation
•The variation is realistic more then one (1) year.
•Variation as like wives,(ups & down)

25. Irregular Variation
•Unexpected reason, reason was not observed.
•Unexpected reasons that is directly effected on the
business.

26. Random Variation
Slowly change with the passage of the time, very little
change in the variation.

27. Native Method
•In this method predict the past observations & behavior.
•Previous time, previous observation is the actual value of
the time.

28. Technique for Averaging
Up’s & down is the part of the business time but consider
only real variation.
Example:
In the last working on top.

29. Technique for Averaging
CONT…
•Moving Average
•Weighted Average
•Exponential Smooth

30. Thank you