Forcasting

What is Forecasting,???
How it is to be carried out ?
what does Historical value mean in it. how system pick historical values and what type of value is this consumption or what forecasting is applicable to finish product or raw material
plz help me and explain
amit

Hi,
Forecasting is basically estimation of future demands / sales based on historical data .Forecast based planning is one type of consumption based planning.
For complete details, of forecast based planning pls go through the following link :
[Forecast-Based Planning  |http://help.sap.com/saphelp_erp60_sp/helpdata/en/f4/7d3f9344af11d182b40000e829fbfe/frameset.htm]
Hope this helps.
Regards,
Tejas

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