Forecasting plays a crucial role during business planning. It is the act of estimating the demand of products and services of the future and the resources necessary for the production of these outputs.(Ching-Chin et al, 2010) describe forecasting as the art and sciences through which future events can be predicted. The prediction can be achieved through historical data. In the event historical data is missing, intuitive prediction can be applied.
Risk and uncertainty are crucial in forecasting and prediction: It is a good practice in the indication of uncertainty. For accurate results, the data should be up to date. In some cases the data used to predict the variable of interest is itself forecasted.
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