Often sales forecasts are lower than potential because the firm may not have

Often sales forecasts are lower than potential

This preview shows page 11 - 18 out of 24 pages.

Often sales forecasts are lower than potential because the firm may not have sufficient production capacity to realize its full potential or its distribution network may not be enough developed. Same when financial resources are not enough.
Image of page 11
SALES PLANNING GOALS Support to the company’s objectives and activities Production planning Financial planning Recruiting Performance evaluation Support to the company’s objectives and activities Production planning Financial planning Recruiting Performance evaluation
Image of page 12
THE SALES BUDGETING PROCESS Company’s strategic objectives Sales forecast Sales personnel and activities costs estimation Compare forecasts with the objectives established for the proposed marketing effort In agreement? Establish / Assign sales quotas (bud Revise expenditure categories Request additional funds if necessary
Image of page 13
Production on demand : Annual forecast and budget Seasonal budget Collection presentation Sales and orders fulfillment Adjustments for material purchases Production Deliveries Production on planning : Annual market evaluation and forecasting Periodical Planning for production Production Presentation and sales or re-assortment Order fulfillment Deliveries PRODUCTION ALTERNATIVES
Image of page 14
SEASONAL SALES FW Man Collection Jan/Feb. July/Sept FW Woman Pre-Coll. Jan/Feb. June/July FW Woman Main Coll. March July/Sept SS Man Collection July Dec/Feb SS Woman Pre-Coll. July Dec/Feb SS Woman Main Coll. Oct Jan/March Sold in showroom Delivered SS Cruise May Oct/Nov FW Flash Nov May/June Collections presentation and deliveries structure
Image of page 15
WHO BENEFITS OF SALES FORECAST? Sales Forecast Finance Production Sales and Marketing Human Resources Others Top Management
Image of page 16
WHO BENEFITS OF SALES FORECAST?
Image of page 17
Image of page 18

You've reached the end of your free preview.

Want to read all 24 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes