Forecasting

Apr 27, 2012  |  Articles

Demand Forecasting: A Cross Discipline Perspective Part II: Probabilistic and Ensemble Forecasting

In forecasting for demand there are two predominant methods of modeling available: deterministic and probabilistic. Normally just saying the names of these techniques is enough to turn someone off from the topic, however, it is important to understand the strengths […]

Apr 26, 2012  |  Articles

Demand Forecasting: A Cross Discipline Perspective Part I: Model Output Statistics (MOS)

This paper will highlight some of the numerical modeling techniques used in weather forecasting that can be applied to improve business forecasting. Demand and weather forecasting are comparable in so much as they are both complex environments in which many […]

Jan 26, 2011  |  Articles

References: Approaches to Forecasting : A Tutorial

References Most introductory textbooks in Operations and Supply Chain Management offer a good discussion of forecasting models. Techniques such as time series models, regression, and measures of forecasting accuracy are routinely covered in these books. One possible source: Cecil Bozarth […]

Jan 26, 2011  |  Articles

Summary: Approaches to Forecasting : A Tutorial

Summary Forecasting is a critical part of CPFR. Fortunately, there are a number of well-developed tools and strategies for developing forecasts. Avoid forecasting values when you can calculate them. For example, in an ideal world, we would only forecast POS […]

Jan 26, 2011  |  Articles

Q2 Forecasting: Approaches to Forecasting : A Tutorial

Q2 Forecasting What Is Q2 Forecasting? Quantitative-Qualitative Forecasting Basic ideas behind Q2 forecasting: Wherever possible, forecasters should first develop a quantitative forecast, then use this for the basis for more qualitative analysis. Historical data is never a perfect indicator of […]

Jan 26, 2011  |  Articles

3 – Step Process: Approaches to Forecasting : A Tutorial

3 – Step Process STEP 1: Divide Items into Three Major Categories STEP 2: Apply the simplest tools needed to do the job STEP 3: Spend effort on the “difficult few” Other Considerations Q2 Forecasting h2. STEP 1: Divide Items […]

Jan 25, 2011  |  Articles

Introduction: Approaches to Forecasting : A Tutorial

Introduction p. Learning Objectives Requirements of Forecasting Section Outline Learning Objectives By the end of this module, you will be able to: List the basic rules of forecasting, and explain what is meant by the rule, “Forecasts are no substitute […]

Jan 25, 2011  |  Articles

Qualitative Methods :Measuring Forecast Accuracy : A Tutorial

Qualitative Methods Common Qualitative Forecasting Methods EXAMPLE: Life Cycle analogy Analyzing the Life Cycle Data for the Previous Version Questions to Consider When Using the Life Cycle Analogy to Forecast for a New Product Common Qualitative Forecasting Methods Executive and […]

Jan 25, 2011  |  Articles

Multiple Regression: Approaches to Forecasting : A Tutorial

Multiple Regression Advanced techniques can be used when there is trend or seasonality, or when other factors (such as price discounts) must be considered. What is Multiple Regression? Resulting Forecast Model Comparing Multiple Regression Model Results against Historic Demand h2. […]

Jan 25, 2011  |  Articles

Measuring Forecast Accuracy: Approaches to Forecasting : A Tutorial

Measuring Forecast Accuracy How Do We Measure Forecast Accuracy? Measures of Forecast Accuracy Mean Forecast Error (MFE) Mean Absolute Deviation (MAD) Tracking Signal Other Measures How Do We Measure Forecast Accuracy? Used to measure: Forecast model bias Absolute size of […]