Inventory requirements
Resources needs
Time requirements
Sale
Answer is Right!
Answer is Wrong!
The correct answer is: D. Sale
Operation generated forecasts are often not to do with sale. They are more likely to be related to inventory requirements, resources needs, and time requirements.
- Inventory requirements are the amount of products that a company needs to have on hand in order to meet customer demand. Forecasts can help companies determine how much inventory they need to order so that they don’t run out of stock or have too much inventory on hand.
- Resources needs are the amount of labor, equipment, and other resources that a company needs to produce its products or services. Forecasts can help companies determine how much of each resource they need to have on hand so that they can meet customer demand.
- Time requirements are the amount of time it takes to produce a product or service. Forecasts can help companies determine how much time they need to allow for production so that they can meet customer demand.
Sale is not typically included in operation generated forecasts because it is difficult to predict. Sales can be affected by a variety of factors, such as the economy, the weather, and competition. As a result, companies typically use historical data and other methods to forecast sales, rather than relying on operation generated forecasts.