Forecasting Best Practices
When you require sales reps to place each opportunity and estimate into a forecast category, you get realistic forecast numbers. You also get a sense of other open opportunities, even if they are considered not likely to close.
To get the most out of your sales forecasting, you should do the following:
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Keep opportunities current. Instruct your reps to make sure their opportunities always reflect the most current developments in the negotiations.
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Make sure sales reps understand how to categorize their opportunities and how to adjust and save their forecasts.
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Require all of your sales reps to manage and update their forecasts on a regular basis.
NetSuite automatically calculates sales forecasts, but without full participation, your team and company-level forecasts will lack the accuracy required to anticipate sales. For more information, see Saving Sales Rep Forecasts.
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Impose a regular deadline every week by which each rep must save their forecast. This deadline should match the Forecast Accuracy preferences set at Setup > Sales > Preferences > Sales Preferences. For more information, see Forecasting Preferences.
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Establish quotas for your sales reps that are in line with your company's revenue goals. Categorize quotas by class, department, or location, as appropriate. For more information, see Establishing a Quota.
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Manage your sales team goals with team quotas. When a sales manager saves a manager forecast, they see how well the team performs in the context of their quota. For more information, see Team Quotas.
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You can rename the forecast categories to fit the terminology of your business at Setup > Sales > Preferences.