Most businesses generally use a system of sales forecasting as an important part of their sales management strategy. Such systems or software programs make sales forecasts in two ways; one is either by automatically mining data that already exists in the system, or by following a step-by-step worksheet that collates all the necessary sales information to make the necessary calculations. But not all sales forecasting systems produce accurate results.
It is important for the sales experts to know in which direction the business is heading. One cannot rely on a single source for the accurate forecasting of results. It is a good practice that the forecast be vetted from multiple perspectives to help the management make critical decisions. It is necessary to have a comprehensive Sales forecasting process in place that can be continuously evaluated, modified and managed smoothly as conditions change.