Forecasting refers to the process of analyzing historical data and trends in order to predict future events or trends. These predictions can be made in a variety of ways, including statistical models, machine learning algorithms and expert knowledge.
Forecasting is often used in companies to make decisions about future business strategies, investments and resource allocation. Examples of forecasting applications are demand forecasts, sales forecasts, budget forecasts and personnel requirement forecasts.
There are various forecasting techniques that focus on different aspects. Some common methods are time series analysis, regression analysis and decision tree analysis. Each of these methods has its own advantages and disadvantages and may be suitable in different ways depending on the situation.
