Knowing the Future, for the Stability of Present
Everything in our daily lives requires a form of forecasting for us to be able to predict what to wear, consume, and safety. Hurricane Sandy, which is forecasted to hit the East Coast, helps people with their safety and precautions we have to take to secure their lives, family, and home. Many people are planning to evacuate because of the information given about the hurricane in advance. We depend on these types of information for our health and safety. Depending on whether the weather channel says if it will rain or snow, we all dress according to that. Due to the current weather situation, many fliers have to consider their delay and canceling of flights. This delays a lot of business process and other situations and airlines have to consider this when rescheduling flights for the process to run again. Forecasting is a major aspect of our life and the information is depended upon for the present to be as smooth as possible.
Most retailers have already forecasted for the sales of fourth quarter, holiday season. They want to produce as much as the demand is suggested for, their revenue depends upon it. Forecasting is a major aspect of any job. It tells you how many to hire to produce a certain amount, how much of the product will be sold, and this information is critical because competitors thrive on an advantage to do better than you do. Halloween season creates a high demand for candy, which if forecasting did not occur either we would not have enough candy or surplus or either situations have negative consequences on the revenue and growth of the company.
Apple is on top of the technology world right now. Their products are sold and back ordered for months because their demand is incredible. Currently IPad mini in white are completely sold out and even though black ones are still available, their inventory does not have enough for those who demand it. They are losing on business for those that could have been sold if availability was an option. Having a demand forecasted accurately would help the business grow and keep consumers happy. Loyal customers will always stay as long as possible but those who are indecisive about a brand will potentially lose a customer if forecasting is not done accurately.
In what other ways do we use forecasting for our daily lives?