Case Report On Australian Banks

Forecasting is part of a company’s future planning as it attempts to estimate future demand for its product or services. Forecasting is usually measured in specific time periods (months, weeks, etc), given a desired level of accuracy, and assigned a unit of forecasting (sales in units or dollars) (Download Reports 2011). PepsiCo bases its sales forecasts on two main factors: changes in consumer tastes, particularly the rise health consciousness among consumers; and how legal regulations may impact operations, such more federal and local laws

* Forecasting is an impartial strategic ingredient that will ensure apt base for reputable planning. Our forecast is always the first step in developing plans in running the business along with our future plans of growth strategies. With this tool, we are able to anticipate our sales within reason that then can allow for us to control our costs in conjunction with inventory which will then help us to enhance our customer service. Sales forecasting is a vital strategic tactic in our company’s methodology.

They also help determine the financing needs of a business and analyze alternative methods of financing. Financial analysts use financial forecasts concerning the economic situation, business operations, types of financing available, interest rates, and stock and bond prices to develop an optimal financing plan for the business. Electronic spreadsheet packages, DSS Software, and Web-based groupware can be used to build and manipulate financial

Financial forecasting is such an integral part of any successful start up business and there are major issues with the way it has been done.

Analyzing the company’s performance compared to its historical figures is always useful; nevertheless, these historical figures can be also a very useful tool to forecast future ProForma figures. We usually start by forecasting future sales (based on an average increase in sales figure) and other balance sheet and income statement items are forecasted as percentage of sales, this percent is normally consistent from historically figures. A close look should be given to the company’s operations and plan for the coming year while making our assumptions and forecasted figures. Normally we should follow

Fixing the forecasts allows to build the communication between the different departments of a firm (communication between the operational staff, the financial staff, etc.). It should be also a guide for financial planning and monitoring the activity and the performance. It is a tool to evaluate profitability and productivity, to identify an eventual gap between actuals and OP (operating plan), and to fix it.

M&L Manufacturing Company is an example of a company that could benefit from forecasting. In the past the company has made an educated guess to determine necessary production for

The following literature review outlines a brief description about the popular bank of Australia, namely, Commonwealth Bank of Australia. The literature review discusses about the organizational structure, products and services. It also helps to understand the operations and functionality like the current processes and gaps of the organization. The problems or issues that are to be fixed by the new system and the information systems strategy are also explained here.

But even this is not possible in case of a new product or innovation. A forecast of sales, demand, cash, requirements and several such business valuables are extremely essential for a business in order to be able to appropriately plan and conduct its operations in an effective and efficient manner. Yet, forecasts cannot be made accurately as there are several factors and changes in the current environment that leads to variations in forecasts and impacts or causes a manager to make changes in the forecasts.

This report is concerned with situational analysis in CBA. This analysis is important part of marketing plan.

Every organisation must plan every action it intends to take, in the short-term as well as in the long-term. The company, on the basis of the objectives set by the top management of the organisation should plan for growth, expansion, restructuring of business or otherwise. Every company needs to plan out its strategies according to its future plans in order to avoid surprises and to overcome any challenges they may have to face. Therefore, without planning, the organisation cannot achieve any of its goals.

* Here you should include a simple table showing the years and the total sales for each year, along with a brief explanation of why sales are expected to rise, fall, change, or stay the same in certain years. Provide a brief explanation of the sales forecast, indicating why you expect sales to rise or fall during the planning horizon. Your explanation should be consistent with the trends and changes in sales found in your table:

Based on the case, there were two fundamental changes to standardize and improve the accuracy of forecasts. The first area was to "switch the focus of the focus of the forecasting process from sell-in to sell-through". This meant tracking closely what was sold in one region and shipped from another made forecasting market demand a more accurate exercise. The second area centered on ignoring capacity constraints to estimate demand. In the past, "forecasting was affected by perceptions of present and future supply chain capacity".

We all know that future cannot be predicted even the weather forecast, which based on accurate data, is not that precise sometimes. Scenario planning provides a solution for organizations to develop in uncertainty by assuming various possibilities about future and help people to make a better decision or plan accordingly.

Scenario planning is suggested as not just about submitting numbers and creating budget but recognising the wider context of events. This is done by developing a small number of scenarios through identifying key uncertainties in the environment which describe how the future might unfold and then mapping decision trees consistent with optimising shareholder outcomes (McKelvey, 2014). To analyse and contrast the variables a matrix can then be produced giving several scenarios with a probability attached. The factors considered from the macro-environment could either be a positive or negative impact on the organisations competitiveness. The idea is that, the best way to prepare for an eventuality is to think through the event and consider alternatives for responding to those situations should they occur (Von Oetinger, 2004). Firms can use these in two ways, firstly to examine each scenario and determine whether the organisation 's current strategy would allow survival and success, or organisations can examine a desired future state and plan the actions that must be taken to achieve that scenario (Nelson, 2014).