It is necessary to forecast the total demand for the current quarter. This forecast will be used to help schedule the operating capacity for the quarter. Demand Projection calculation The key to estimating total demand is to estimate the number of units each salesperson is likely to sell. Multiply this number by the number of sales people employed for the quarter to obtain an estimate of the total demand. FORMULA Demand Projection =# of units per salesperson # of sales people employed for the quarter. Brand Demand Projections Once you have estimated total demand, you will want to allocate this demand across the brands that you plan to sell this quarter. These individual brand forecasts will not be used to schedule production. Rather, they will be fed into a software program that imitates or simulates how your production works. With this production simulation, you can evaluate your production decisions before you actually finalize everything. YOUR TASK In the Workspace, insert the number of units you think your sales people can sell during this quarter. The number of sales people that you have hired has already been inserted. The key to forecasting total demand is to estimate how much the demand per salesperson will improve as a result of your adjustments in brand design, pricing, advertising, and sales force allocation. Next, allocate total demand across the brands that you plan to sell. Finally, note the "Production capacity required to satisfy projected demand." This is the estimate of the minimum operating capacity required to satisfy the total demand. Demand Prnientinn