Steps for Planning and Forecasting

$1.$ Develop Basis of Understanding of the Current Status: Begin by reviewing the condition of the organization. Goal is to understand the company$$s current, competitive market positioning.

$2.$ Approximate Future Needs: Based on the examination completed in the review of the current status, the next activity is to estimate future conditions. These conditions are based on the market trends and can enable the company to evaluate how they may do in the future.

$3.$ Adjust Forecasts: Constantly review multiple forecasts with data from the past in order to conduct comparisons. Any differences from the past with current results and future forecasts can be analyzed to enlighten the planning process by identifying differences in results.

$4.$ Review: Continually evaluate the demand, materials and inventory levels throughout every stage of processing goods so that enhancements and adjustments are made accordingly