1. Using a three-month moving average, forecast sales for next January (month 13). [2 marks] 2. If forecast for January (month 1) is 320 lunches, with an alpha of 0.4, use exponential smoothing to forecast sales for January (month 13) [6 marks]

Healthy Foods Restaurant Healthy Foods is a restaurant that is located in the centre of Hana Town. It provides a variety of delicious food that customers can choose from. Competition is very intense in this area of town so, Healthy Foods has to ensure that its customers are provided with excellent products that are superior to those of competitors. The production, marketing, finance and human resource departments work together to ensure that this objective is achieved. The operations manager is aware of the level of competition and knows that he has to make sound decisions to ensure that customers are satisfied with the final output. These decisions include:- 1. Design of goods and services 2. Managing quality 3. Process and capacity strategy: 4. Location strategy 5. Layout strategy 6. Human resources and job design 7. Supply chain management 8. Inventory management 9. Scheduling 10. Maintenance Although the restaurant does not have a written mission statement, its main aim is to provide a healthy alternative for its customers. The OM manager has to ensure that effective strategies are put in place to achieve the mission. In order to ensure that the correct strategies are put in place, he must ensure that the proper process is followed. Although competition is intense in the town area, healthy foods is doing well. When the market saturates, management would have to expand its operation overseas. Sales for the last 12 months can be seen in the table below. The Operations Manager, use these sales figures to forecast sales for future periods so that he can plan properly for resources etc