Question
A company wants to forecast the demand for its product using the exponential smoothing method. The company has collected data for the last 12 months,
A company wants to forecast the demand for its product using the exponential smoothing method. The company has collected data for the last 12 months, and the demand for each month is given below:
| Month | Demand |
|---|---|
| 1 | 550 |
| 2 | 620 |
| 3 | 690 |
| 4 | 680 |
| 5 | 710 |
| 6 | 730 |
| 7 | 760 |
| 8 | 790 |
| 9 | 840 |
| 10 | 860 |
| 11 | 900 |
| 12 | 940 |
The company has decided to use an alpha value of 0.3 for the forecast. Calculate the forecast for month 13 using the exponential smoothing method.
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Operations Management in the Supply Chain Decisions and Cases
Authors: Roger Schroeder, M. Johnny Rungtusanatham, Susan Goldstein
6th edition
73525243, 978-0073525242
