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You are employed as an Industrial Engineer at a chemical plant manufacturing fertilizer. The plant manufactures a 50-kilogram bag of fertilizer for a specific chain
You are employed as an Industrial Engineer at a chemical plant manufacturing fertilizer. The plant manufactures a 50-kilogram bag of fertilizer for a specific chain of hardware stores which have a large gardening section. Management is concerned about the viability of this order. You are requested to investigate and report your findings to management. Your investigation of the demand for the past 11 years produces the following data: Year Demand (Thousands) 1 4 2 6 3 4 4 5 5 10 6 8 7 7 8 9 9 12 10 14 11 15 In preparing your report to management you are required to: a. Develop a 3-year moving average of demand. (17) b. Utilising MAD determine the accuracy of the forecasts. (3)
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