Forecasting

Forecasting without overpromising

Useful forecasts come with assumptions, ranges and an explanation — not a single confident number.

A forecast is a planning tool, not a prediction of the future. Present it as a range with clearly stated assumptions so planning and budgeting conversations stay grounded.

Explainability matters more than marginal accuracy. If management cannot see which drivers move the number, the model will not be trusted and will not be used, however well it scores in testing.

Re-check the model against reality on a schedule. Data shifts, markets shift, and a model that is never revisited quietly becomes misleading.

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