Forecasting software can help companies become more agile and ultimately make better data-driven decisions.
Automating the process of predictive analytics can save an establishment both time and money by producing an accurate forecast at the click of a button. Forecasting software has the capability to instantly pull a company’s historical data and all relevant information into one simple report without the need for manual data collection, calculations or spreadsheet manipulation.
Companies use budgeting and forecasting software to plan the financial resources they need to support their business activities in the future. This type of software helps companies estimate future revenues and expenses across multiple departments or business entities. Managers and executives use this type of software to create budgets and forecasts for each department. Accountants use budgeting and forecasting solutions to consolidate all departmental budgets to develop an overall company budget, which defines how funds will be allocated to each department. This type of software also empowers accountants to identify possible changes in revenues and expenses, which may impact the profitability of the company.
The forecasts are applicable to different functions of the organization, such as for example:
- A Sales Forecast of a specific product or a family of products already in the market.
- A Forecast to determine the volume demand of an innovative product.
- A Financial Forecast for profit and loss statements, balance sheets and other cash-flow forecasts.
- A Material Forecast to ensure all the resources meet customer demand in time and quantity.