When it comes down to the bottom line, your decisions have financial impacts. The Institute of Business Forecasting & Planning said, “The profit and loss statement often gets the most attention, since it shows the revenue, the cost of goods sold, and the period costs and profit of the company.” Demand and supply planners should know gross profit so they can be familiar with the profit structure and profit realized in sales. Finally, EBITDA is, “earnings before interest, tax, depreciation, and amortization” It’s important to look at financial metrics when planning for the future. Forecasting and planning financially is instrumental in continuing a business’s success in the future and knowing these terms to plan and collaborate is beneficial. How are you using finance metrics?
