Sales Forecasting
One of the most important requirements for the success of your business is to be able to predict sales. How you compile and calculate sales forecasts can impact all aspects of your business, from production to inventory to cost to revenue. All of the up-to-the-minute information you need to make sound business decisions is a few clicks away.
If you are a sales rep, read A Sales Person’s Guide to Forecasting. This topic explains how to use the NetSuite forecasting tool.
NetSuite provides a flexible forecasting tool that you can configure to your business' forecasting needs:
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NetSuite provides comprehensive forecast calculation methods and a three-tiered probability system that gives a high degree of accuracy.
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NetSuite includes key performance indicators (KPIs) like Forecast, New Opportunities, and Total Pipeline. Use these KPIs to view and manage all aspects of your forecast right from your dashboard.
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The Sales Rep Forecast Editor lets sales reps leverage their experience and knowledge to adjust their forecasts. Entering forecast overrides and updates ensures that the forecast is accurate and reflects the best notions of your sales force.
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NetSuite reporting tools help you compile and slice forecasting data to give you exactly the information you need.
You can customize standard reports to suit your individual business process. See Sales Forecast vs. Quota Report, Forecast by Customer Summary Report, and Calculated Forecast Accuracy Report
Using NetSuite Sales Forecasting
The following roles use sales forecasting:
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Sales Reps – For a sales rep, an accurate representation of your sales forecast is key to ensure you are on track to meet your quota. As you enter orders and opportunities, NetSuite updates your forecast numbers in real time on your dashboard. You can adjust your sales strategy with the certainty that you have accurate numbers at hand.
Also as a sales rep, you know better than anyone which deals are likely to close and when. With NetSuite, you can update and override the forecast calculated by the system with a more accurate number.
For more information, read A Sales Person’s Guide to Forecasting.
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Sales Managers – Sales managers need the most accurate forecast figures to ensure their teams meet quota.
With forecast reports and KPIs, sales managers can drill down to see how each rep is performing on a customer or transaction level.
The forecast accuracy reports provide historical data on how well you and your reps predicted sales. Historical data helps you make adjustments necessary to report accurate forecast amounts to company executives.
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Executives – Company executives are constantly in touch with the company sales forecast. Forecast KPIs and reports give an up-to-the-minute picture of the sales forecast essential to monitor your company's performance with respect to revenue goals.
Forecast Reporting
NetSuite provides extensive Forecast Reports to enable you to manage and report your forecasting data. NetSuite provides the following types of forecasting reports:
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Accuracy Reports – Forecast Accuracy reports provide another layer of checks and balances that you can use to sharpen your forecast based on past performance. See Forecast Accuracy Report and Calculated Forecast Accuracy Report.
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Summary Reports – Summary reports such as the Sales Forecast vs. Quota Report bring together all of your forecast data. See Forecast Reports.
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Detail Reports – Detail reports provide a granular look at your report data. For example, the Forecast by Sales Rep Summary Report lists each sales rep's forecast for the period you define.
Working With Forecasting
To get started using forecasting:
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Review the forecasting options available in Setting Up Sales Forecasting.
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Instruct your sales reps to read A Sales Person’s Guide to Forecasting.
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Review the recommendations in Forecasting Best Practices.