Demand forecasting is essential

Question

Why Demand forecasting is essential?

Answer 1

Demand forecasting is essential because it helps the organization to:-

1. Quantify the jobs, necessary for producing a given number of goods.

2. To determine the nature of staff mix required in the future.

3. To assess appropriate levels in different parts of organization so as to avoid unnecessary costs to the organization.

4. To prevent shortages of personnel where and when, they are needed by the organization.

5. To monitor compliances with legal requirements with regard to reservation of jobs.