Strategic forecasting: the management perspective

Abstract

Purpose The purpose of this article is to present an overview of the area of strategic forecasting and its research directions and to put forward some ideas for improving management decisions. Design/methodology/approach This article is conceptual but also informed by the author’s long contact and collaboration with various business firms. It starts by presenting an overview of the area and argues that the area is as much a way of thinking as a toolbox of theories and methodologies. It then spells out a number of research directions and ideas for management. Findings Strategic forecasting is seen as a rebirth of long range planning, albeit with new methods and theories. Firms should make the building of strategic forecasting capability a priority. Research limitations/implications The article subdivides strategic forecasting into three research avenues and suggests avenues for further research efforts. Practical implications The article provides five examples of ideas that may enable managers to analyze and understand the future of their firm’s environment, thus improving investments in a wide variety of areas. Originality/value This article’s contribution is a relatively novel way of theorizing within a somewhat neglected area. It also suggests several new practical ideas that may improve management decisions.