After reviewing the long-range planning demonstration video (posted on Canvas) and looking over the slides, complete the following case. Transfer your answers to the Canvas quiz. You have been hired as a demand planning intern for Hawaiian Island Creations (HIC). They want you to develop a forecast for their HIC Papanui style of sunglasses. The goal is to determine how many pair they will produce in July to meet retailer demand in in the early fall. During your first meeting, you were handed some data to work with and the product team talked about the company's upcoming promotional blitz to support Fall Fling '22 in major vacation destinations. Other useful information about the company: Internal production capacity =7,900 units per month Historical forecasting error =700 units per month Evaluate the capacity of HIC's internal production capacity to serve demand. Calculate capacity utilization for June 2022: Based on HIC's available resources, did they have enough internal production capacity to serve demand in June 2022? Assignment - Capacity and Demand Planning Calculate the demand forecast for July 2022 using the methods listed below. Work with the data provided in the table on the previous page. Three-Month Simple Moving Average Three-Month Weighted Moving Average Weight factors t1=.60t2=.30t3=.10 Exponential Smoothing Alpha smoothing constant =.7 Which method do you recommend that the company use when forecasting July 2022 demand? Explain why you selected this method. Assignment - Capacity and Demand Planning Evaluate the company's forecast accuracy over the last three months. Mean Absolute Deviation Based on their historical forecasting error, how well is HIC doing in terms of forecast accuracy