Apt Accuracy in Forecasting Essay Example | Topics and Well Written Essays - 750 words - 1

Apt Accuracy in Forecasting - Essay Example In addition, the problem situation entails exploring other available techniques that can be used to improve short-term forecasting on an annual, quarterly and monthly basis (Emerson, 2003). On a similar note, the firm is interested in long-term forecasting ranging from 2-3 years and generation of inflation forecasts. For proper maintenance of the balance between the company objectives and customer prospects, it should be assumed that the EBBD managers are habitually required to bestow better service with limited resources (Fildes & Allen, 2011). The EBBD’s approach in forecasting is not only an estimation of future business but also an appeal of resources, which will ensure a steady supply of the product (Fildes & Allen, 2011). The assumption that, the monthly costs and operational budget reviews are prolific then it follows that this process is expected to provide desired results. An assumption that, this environment is constant, the benefits of effective forecasting are numerous. It is imperative to note that, placing a determined amount of product in a forecasting process, expectations that both the resources and the products are available to remain fundamental. (Fildes & Allen, 2011). This stage requires apt accuracy in a bid to meet the expectations with limited fluctuations. EBBD management like those of other companies operates under the environment of risk and uncertainty. It is imperative to note that, one of the key instruments of reducing risk in decision-making processes is forecasting. It is assumed that an immense difference exists between forecasting intended for an existing product and that intended for a new product (Fildes & Allen, 2011). Proper application of forecasting in each case can be critically ascertained in each case.