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discuss the costs and benefits associated with statistical versus judgmental forecasts for labor supply. under what condition might either of these technique be infeasible? under what conditions might both be feasible, but one more desirable than the other?​

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Answer:

The two methods used to forecasting labor demand and supply are: Statistical Method and Judgmental Method.

The Statistical method collects previous historic data regarding company's demand and supply for qualified employees and provides forecasting for the particular period. It is feasible when other factors remain same in the organisation. It is not feasible when the organisation changes its objectives, mission and vision etc

Cost and Benefit

It prevents future shortage of qualified employees

It avoids disruption over operation

The Judgmental method is when the company follow judgmental method, that is it is based on manager's experience of conducting survey to estimate employees requirements on future operation.

It is feasible for small and medium size organisation for short term forecast. It

Cost and Benefit

It avoids short-run shortage of employees

It avoids short-run surplus of employees.

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