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BizReport : White Papers : Sales & Marketing

Sales Forecasting: It's a Risky Business

This White Paper describes several methods of forecasting and makes the case that using simulation has some significant advantages over traditional forecasting methods:

  • Very robust and flexible – can generate accurate forecasts for a wide range of pipeline scenarios
  • Eliminates manual forecast judgment – no need to commit to any specific opportunities
  • Timely - can be updated on demand, since manual judgment isn't necessary
  • Flexible - supports different opportunity types, with different pipeline durations and probabilities
  • Handles uncertainty – supports deal duration and pricing variability
  • Greatly enhanced visibility – provides early warning of lagging opportunities and pipeline deficiencies
  • Confidence – let's you decide the level of risk that's comfortable for your organization
If your company employs a stage-based sales pipeline, has multiple types of opportunities, and has a sales cycle longer than a few weeks, then you will be interested in understanding the differences of the forecasting approaches explored in this white paper.

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