Explain driver based forecasting Explain driver based foreca

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Answer:-

Driver Based forecasting is just a link of the business operation activities It means we say the link between the Revenues and Various Expenses. Drivers are the Main activities that can be done with in the organization. Think If there are no business then there is no sales means there I sno expenses So no budget or forecast needed

Driver Based Forecasting is a Approach or technique of management that helps to identify the organization key business drivers. It is also a Series to create various business plans. The main motive or aim of it is that to focus on the good business plans that are capable of providing success to the business. This can be done in a subjective manner as it is based on some expectations It needs a good visionary that’s why it is tricky. The Individual which are in a same or similiar organization have a different views or thinking or perceptions about what the key drivers of success. That is the main Reason behind the Driver Based Forecasting.