Forecasts use recent historical data, typically sales and clock entry or timesheet data, and apply your organization’s forecasting method to generate forecast targets. Dayforce is configured to use one of the following forecasting methods to forecast Sales and AHR from sales and clock entry data:
- Naïve. Dayforce uses prior period data for forecasts.
- Average. Dayforce bases forecasts on the average of a given number of past same-day values.
When you run the forecast for each week, Dayforce:
- Retrieves historical data. Dayforce retrieves sales data imported from your Point-of-Sale (POS) system and historical clock entry data, either from past timesheets in Dayforce or from imported records from an external time and attendance system.
- Forecasts values. Dayforce generates forecast sales and AHR using the historical data.
- Derives additional values. Dayforce uses some figures from your plan’s budget and the forecast numbers to calculate the remaining KPIs.
Continuing the example, the following flow diagram illustrates the forecasting process using sales, wage %, and AHR: