Customer Analysis on Annual Reports
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Problem:
I need to make order predictions for next year, based on the data in the table.
Table "NUMBER OF TOOL ORDERS PER YEAR" should be represented on charts, type of chart is not important.
Table "ORDER PREDICTIONS FOR NEXT YEAR" should be presented on charts too.
table is attached
Please refer to attachment.
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Solution Summary
Customer analysis on annual reports are examined in the solution.
Solution Preview
The simplest sales or purchasing forecasting method is an annual sales forecast. Assuming that your sales are relatively stable -- no major changes in your competition, your employees or your customer base from year to year -- you only have to account for inflation. Here's the formula:
last year's annual sales + (last year's annual sales X rate of inflation) = next year's sales forecast
However, testing this formula doesn't seem to conform with the numbers for the previous years, so we need to customize a formula to our liking. We will go back only 4 years and include our present year, the earliest years were a bit slow to start from and fluctuated a bit. You want your analysis on workable trend. So:
<Company ID 1 for 2013 projection>
between 2008 and 2011 ...
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