We have seen the importance of demand forecasting affecting supply chain decisions in many ways. How does the reliability of demand forecasting affect a model to place warehouses for customers? Knowing that there is no specific answer that is always appropriate, how good (measured in percent close) do forecasts have to be in order to be used for network modeling?
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Q: Please show work
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A: THE ANSWER IS AS BELOW:
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Q: The following table shows the actual demand observed over the last 11 years: year 1 2…
A: We can calculate a three-year forecast by using the formula- Three-year moving average method ( Year…
Q: The following table shows the actual demand observed over the last 11 years: Year 1 2 3 4 6. 7 8 10…
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A: Given data is Month Forecast 1 570 2 600 3 630 4 650 5 670 6 690 Regular…
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A: Inventory management is the management in which stock is sourced, stored, and sold in the market.
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A: Naive forecasting is an forecast estimation technique in which the current period forecast is equal…
Q: Using the exponential smoothing forecast, is it possible to forecast a demand that isbigger than any…
A: Exponential Smoothing:- Like the past 2 techniques, guileless and moving midpoints, the dramatic…
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Q: The following table shows the actual demand observed over the last 11 years: Year Demand 1 2 7 10 3…
A: Forecast for Year 4 = (Sum of Demand of Year 3,Year 2, Year 1) / 3 Year 4 5 6 7 8…
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A: Formulae used: Error = Actual Demand - Forecast Absolute Error = ABS (Error) = |Actual Demand -…
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A: seasonal forecast is obtained by multiplying the forecast with the relative values fo the periods.
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A: Given, 850 870 950 910 970 870
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A: Price (x) Number Sold (y) xy x2 $2.70 760 2052 7.29 $3.40 515 1751 11.56 $2.10 990 2079 4.41…
Q: Haip Save & C This is the same information for all six questions about this hypothetical situation…
A: In exponential Smoothing : Forecast formula: F(t+1) = alpha*D(t) + (1-alpha)*F(t)
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A: 1.
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Q: There is an ongoing debate about the roles of quantitative and qualitative inputs in demand…
A: ANSWER: Quantitative techniques depends up on historical data where as qualitative focuses up on…
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A: THE ANSWER IS AS BELOW:
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Q: Matrix uses simple exponential smoothing with S.F = 0.6 to forecast demand. The forecast for the…
A: Below is the solution:-
Q: Discuss how flexibility in production systems relates to the forecast horizon and forecast accuracy?
A: To understand the concept of a flexible production system, investigate how flexibility can be used…
Q: The operations manager has compiled data on demand for the two most popular books from order records…
A: Given data MONTH JHS Science SH Math 1 50 40 2 54 38 3 57 41 4 60 46 5 64 42…
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A: Given data is Alpha = 0.5 Forecast for year 1 = 4000 miles
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A: Given data: X Y 2.60 770 3.60 505 2.00 975 4.20 250 3.10 315 4.00 490 19.50 3305
Q: The following table shows the actual demand observed over the last 11 years:…
A: Given Information:
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- Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?Given the following forecast and cost information, Regular time cost $ 40.00 per unitdetermine the total cost of a plan that uses regular time Overtime cost $ 60.00 per unitproduction output of 600 units per month, overtime is subcontracting cost $ 80.00 per unitused when needed up to a maximum of 60 units per holding cost $ 10.00 per unit per monthmonth, and subcontracting is used if additional units are needed to meet the forecast.Month Forecast1 5702 6003 6304 6505 6706 690Totals
- Wine Accessories Inc. (WAI) produces two models of corkscrews, the standard model and a deluxe model. WAI follows a level aggregate plan, producing 20,000 corkscrews per month, or 5000 corkscrews per week. Th e MPS is developed in weekly time periods. Th e forecasts for each model and the projected available are shown in the next two tables. Th e replenishment order quantity is 2000 units for the standard model and 1000 units for the deluxe model. Note that you can place multipleorders if a single order is insuffi cient to cover the forecast (you can produce 4000 units of the standard model if necessary, or 2000 or 3000 units of the deluxe model). Remember that total weekly production is limited to 5000 corkscrews. Develop an MPS for each of the products.The operations manager has compiled data on demand for the two most popular books from order records for the previous 14 months, as shown in the table below. Study the forecast figures for ‘JHS Science Textbook’ from the table and determine if a demand pattern is obvious, and hence prepare a monthly forecast for the next four months for this product. Briefly explain why you chose the particular method used for this forecast. Month JHS Science Textbook (cartons) SHS Math Textbook (cartons) 1 50 40 2 54 38 3 57 41 4 60 46 5 64 42 6 67 41 7 90* 41 8 76 47 9 79 42 10 82 43 11 85 42 12 87 49 13 92 43 14 96 44 *Unusual order due to flooding of a major distributor’s warehouse.Discuss how flexibility in production systems relates to the forecast horizon and forecast accuracy?
- In each of the following, name the term defined or answer the question. Answers are listed at the bottom. 1. A term used to describe demand that is uncertain and needs to be forecast.2. We are ordering T-shirts for the spring party and are selling them for twice what we paid for them. We expect to sell 100 shirts and the standard deviation associated with our forecast is 10 shirts. How many shirts should we order?3. We have an item that we stock in our store that has fairly steady demand. Our supplier insists that we buy 1,200 units at a time. The lead time is very short on the item because the supplier is only a few blocksaway and we can pick up another 1,200 units when we run out. How many units do you expect to have in inventory, on average?There is an ongoing debate about the roles of quantitative and qualitative inputs in demand estimation and forecasting. Those in the qualitative camp argue that statistical analysis can only go so far. Demand estimates can be further improved by incorporating purely qualitative factors. Quantitative advocates insist that qualitative, intuitive, holistic approaches only serve to introduce errors, biases, and extraneous factors into the estimation task. Suppose the executive for the theater chain is convinced that any number of bits of qualitative information (the identity of the director, the film’s terrific script and rock-music sound track, the Hollywood “buzz” about the film during production, even the easing of his ulcer) influence the film’s ultimate box-office revenue. How might one test which approach—purely qualitative or statistical, provides better demand or revenue estimates? Are there ways to combine the two approaches? Provide concrete suggestionsMatrix uses simple exponential smoothing with S.F = 0.6 to forecast demand. The forecast for the week of Nov 1 was 350 units, whereas the actual demand turned out to be 400 units. Forecast the demand for the week of Nov 8 to week Nov 22 Week Actual Demand Forecast Nov 01 350 400 Nov 08 460 430 Nov 15 501 448 Nov 22 495 479.8 Element of Competency Determine the quantity of raw materials and other products order.
- I'm trying to determine optimal order quantity but only have a Mean forecast and a standard deviation of it to use for sales data. How would I determine the sales data to use in the optimal order quantity formula?South African rapper, Cassper Nyovest, has launched a business venture manufacturing his very own clothing and shoes. Cassper wishes to ensure the highest levels of customer satisfaction. Argue the importance of accurate demand forecasting as a principle of an inventory management system for Cassper. Note: Provide at least two application points.Comfort Plus Inc. (CPI) manufactures a standard dining chair used in restaurants. The demand forecasts for quarter 1 (January–March) and quarter 2 (April–June) are 3700 chairs and 4200 chairs, respectively. CPI has a policy of satisfying all demand in the quarter in which it occurs. The chair contains an upholstered seat that can be produced by CPI or purchased from DAP, a subcontractor. DAP currently charges $12.50 per seat, but has announced a new price of $13.75, effective April 1. CPI can produce the seat at a cost of $10.25. CPI can produce up to 3800 seats per quarter. Seats that are produced or purchased in quarter 1 and used to satisfy demand in quarter 2 cost CPI $1.50 each to hold in inventory, but maximum inventory cannot exceed 300 seats. Define the decision variables needed to model this problem. Give the objection function. Write the constraints. What is the final answer? Explain in detail.