Model

A forecast model is a construct which holds the data and assumptions about the future,
allowing them to interact with each other and the forecaster.
Commonly, a spreadsheet is used to build this model, but the actual vehicle for the model can be anything from a simple notepad to a sophisticated customised software package.

The benefits of having a formal model for the forecast include:

• structure reflecting market realities, making the model easier to fill out;
• logical lay-out, more transparent to users and customers alike;
• fixed set of parameters to be completed (acting as a check-list for the forecast).

The model is constructed to reflect the structure of the subject – market, patient group, etc.. However, the variables to be included in the model should be selected carefully to represent the key elements of the forecast subject without introducing unnecessary complication.

For more information, please contact us.