THE EFFECTS OF DEMAND FORECASTING ON ORGANISATION’S PROFITABILITY (A CASE STUDY OF 7-UP BOTTLING COMPANY KAKURI, KADUNA STATE)

THE EFFECTS OF DEMAND FORECASTING ON ORGANISATION’S PROFITABILITY  

 (A CASE STUDY OF 7-UP BOTTLING COMPANY KAKURI, KADUNA STATE)

ABSTRACT

The overall objective of setting up any business whether production or services included, revolves round profit maximization amongst other objectives. Furthermore, attaining this profitability level, may seem impossible, if managers of business do not meet the delivery dates and time of their customers demand, hence the need to lay more emphasis on forecasting the demand for her products or service so as to meet its desired goal of profitability. The researcher tries to checkmate the effect of demand forecasting with regards to  meeting the delivery dates, gaining competitive advantage and maintaining organization’s goodwill. Organizations should be able to correlate demand forecasting and sales as a key to profitability.  In the course of the research, the researcher adopted a stratified sampling technique, where the entire population of 495, was divided into stratum of departments. The researcher also adopted the use of percentage in other to have a true percentage representation of each department (Ref. 3.3). Finally, the researcher was able to discover that, forecasting the demand of 7-up bottling company Kakuri, Kaduna state, has greater effect on her profitability level which serves as a measurement for business success.

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