What is meant by Sales planning?

"Sales planning" refers to the process of forecasting and planning the future sales of products or services of a company. The goal of sales planning is to predict demand for products or services in order to take appropriate actions for production, procurement, and marketing. This process involves analyzing historical sales data, market conditions, customer needs, competitive factors, and other relevant factors to make informed decisions about future sales.

Typical functions of software in the "sales planning" area include:

Demand forecasting: The software allows for forecasting future demand for products or services based on historical sales data, market trends, seasonality, and other factors.
Inventory management: Managing inventory levels and orders to ensure adequate product stocks are available for forecasted demand without having excess inventory.
Scenario analysis: Conducting scenario analyses to model different sales scenarios and evaluate their impacts on production, inventory, and finances.
Capacity planning: Planning production capacity and resources based on forecasted sales volumes to ensure production capacity meets requirements.
Sales planning: Developing sales plans and strategies based on sales forecasts to achieve sales goals and capitalize on market opportunities.
Collaboration and communication: Ability to collaborate and communicate between different departments such as sales, marketing, production, and procurement to optimize sales planning and avoid bottlenecks.
Real-time data analysis: Analyzing real-time sales and demand data to quickly respond to changing market conditions and make adjustments in sales planning.
Reporting and dashboards: Generating reports and dashboards to visualize sales data, demand forecasts, inventory changes, and other relevant metrics to support decision-making processes.