How do we even out the forecast to account for variation?
Expert Answer
Forecasting is an important phenomenon for any product growth/sales. So the profitability/growth depends upon how effective the forecasts are.
In order to account for the variations in the forecast of our values, it is always important to give due importance to the previous forecast items and the previous actual items. This helps in smoothing and controlling the variations caused.
Apart from this, including the trend and seasonality compound if any, will help in generating more closer forecasts which ultimately helps in better positioning of our products/systems.