Forecasting

Use historical data and seasonal fluctuations to try and predict demand for a business’s products, this allows them to prepare to meet the forecasted demand Strength Ensures that a business maintains an appropriate level of materials for the operations system without overproducing Ensures that a business does not find itself underproducing. resulting in a loss of customers, and possibly a decline in market share Limitations Making use of historical data does not necessarily guarantee that past events will continue into the future Forecasting, to some degree, will always be inaccurate