Items related to SALES FORECASTING: A NEW APPROACH
Synopsis
Some years ago a colleague of ours, Ollie Wight, was teaching a public seminar. An early part of the session was devoted to self introductions by the attendees. Here’s what happened when a marketing vice president introduced himself: Marketing VP: "Hi, I’m Joe Smith, I’m the VP of Marketing with Ajax Widgets. "Ollie Wight: "I’m not familiar with the widget business. Who’s your competition?" Marketing VP: "Manufacturing" At the time we thought it was humorous. But we’ve encountered this kind of situation too many times to think it’s just a funny story. It’s too widespread. Jim Burlingame, formerly Executive Vice President at Twin Disc company in Racine, WI, claimed "Ninety-five percent of all marketing — manufacturing relationships are adversarial." Jim’s number may not have been accurate to four decimal places; maybe the percentage is 88 or 98.6. But Jim’s point was right in the mark: The "national average" is that people on the commercial side of the business –Marketing and Sales– normally do not have warm, friendly, supportive relationships with the folks in Operations – Manufacturing, Purchasing, Materials, Logistics. an vice versa. Why is this so? Why do these people hassle each other instead of devoting their time and mental energies to serving the customers? Well, there’s a lot of reasons: functional silo organizations, misaligned performance measurements, left-brain vs right-brain personalities, unenlightened leadership that pits one group against the other, and—oh yes–not doing the forecasting job well. This includes lack of accountability, poor forecasting processes, dealing with too much detail, and unclear objectives. This last issue–not doing the forecasting job well–is what this book aims to fix. We hope it helps companies make things better on the forecasting front. Doing a better job of forecasting can help the individual company increase
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