Strategic forecasting involves creating a vision of the future to prepare for opportunities and adversity. It encourages businesses to structure plans based on future opportunities and detect adverse market conditions. While no one can predict all future events, strategic foresight can reduce uncertainty and build confidence and success.
Strategic forecasting is the practice of creating a working vision of the future, or of future events and possibilities, in order to make the most of opportunities and prepare for any possible adversity. The idea of strategic foresight arose from the idea that while the future is not predictable, it is not predetermined either and can be positively influenced by the actions we take in the present. This way of thinking is often used in a business context and encourages business decision makers to structure their plans based on future opportunities rather than past events.
Those who employ strategic foresight in business may be able to anticipate and detect adverse market conditions, as well as any need there may be to analyze new markets or potential new products. For most business organizations, the future is something of a big blind spot. They operate based on assumptions and principles accepted in the past and only change their view based on new information in the present, such as economic data or legislation. While this is a seemingly natural and understandable way of looking at the business world and is very common, it essentially keeps the mind focused on the past.
One of the assumptions of a worldview that includes strategic foresight is that the future need not be abstract or mysterious. There are real challenges and dangers that will have to be faced. Not only that, but there could be great opportunities on the horizon just waiting to be seized. Challenges and opportunities, and the patterns in which they occur, are highly important and relevant to everything a company does, even in the short term. If visible future events are neglected, they are unlikely to lead to ideal outcomes when the future becomes present.
While the strategic forecasting mindset can be a powerful tool, no one can accurately predict all future events. Even if this is the case, businesses and leaders who employ strategic foresight will find themselves more prepared for events as they arise. They will likely be better equipped to deal with opportunity and adversity compared to the competition, and this will reduce uncertainty and build confidence and success time and time again. Strategic foresight will lead a person to be proactive rather than reactive, where they can anticipate events rather than being caught unprepared.
Asset Smart.
Protect your devices with Threat Protection by NordVPN
