Describe double exponential smoothing, Operation Management

Assignment Help:

The Cardinal Electronics Company must project the sales of cellular phones for the next year (called year 2). The number of cell phones sold by Cardinal Electronics in each of the past 6 months (July of year 1 through December of year 1) is shown below. Month Number of Cellular Phones Sold July 183 August 215 September 294 October 333 November 410 December 438 a. Forecast the number of cellular phones demanded in January of year 2 using a rolling (i.e. updated at end of each month when new demand data becomes available) 4-month linear regression model. For example, forecasts generated at the end of October are made by fitting a linear regression to the demands in months July through October and forecasts generated at the end of December are made by fitting a linear regression to the demands in months September through December. Forecast the number of cellular phones demanded in July of year 2. Calculate the MAD, MSE, and MAPE for a rolling 4-month linear regression model. b. Using Double Exponential Smoothing (DES) with ? = 0.15 and ?= 0.10 (i.e. assume the data has a linear trend pattern), forecast the number of cellular phones demanded in January of year 2. Forecast the number of cellular phones demanded in July of year 2. Calculate the MAD, MSE, and MAPE for your double exponential smoothing model. c. Based on the measures of forecast accuracy you calculated for the part a) linear regression model and the part b) DES (0.15, 0.10) model, which model is a better fit for this data?


Related Discussions:- Describe double exponential smoothing

Explain a global corporation, A global corporation sees the world as its la...

A global corporation sees the world as its labor source as well as its marketplace. Therefore, a global corporation will locate an operation wherever it can accomplish its goals in

Line balancing, what is line balancing and what happens if it doesn''t exis...

what is line balancing and what happens if it doesn''t exist?

Fundamentals of Management, Directions: Sources must be cited in APA forma...

Directions: Sources must be cited in APA format. Your response should be four (4) double-spaced pages; refer to the "Assignment Format" page located on the Course Home page for sp

Explain switching to a new system of billing, Suppose you are the manager o...

Suppose you are the manager of an accounts receivable unit in a large company. You are switching to a new system of billing and record-keeping and need to train your three supervis

Do whole foods markets mission and vision, Do Whole Foods Markets mission/v...

Do Whole Foods Markets mission/vision and the core values as presented in cases Exhibit 1 and 3 really matter? Are they real or just cosmetic window dressing? What evidence can you

Explain maintain its strong brand images, impressive portfolio includes som...

impressive portfolio includes some of the strongest brand names in the world. Additionally, P&G must study its consumers, use long-term perspectives, employ product innovation and

Describe potential key changes in technology, Discuss potential key changes...

Discuss potential key changes in technology, communications, and competition that Sigma will face in the future. Which will have the most impact on Sigma future marketing strategie

Explain fledible cross functional teams, Strategy Highlits 11.2 dicusses th...

Strategy Highlits 11.2 dicusses the informal oranizational structure of W.L.Gore and Associates. Go to the firm's Website (www.gore.com) and review the scope of the firm. a. Wha

Explain inatrode produces computer chips, Inatrode produces 4750 computer c...

Inatrode produces 4750 computer chips per day. Each day, a sample of 375 chips is tested for a period of 96 operating hours each. During the test, 3 failed at 15 hours, 5 failed at

Span of process - process design, 1. What 'span of process' choices do you ...

1. What 'span of process' choices do you think have been made by the Graduate School of Business? Answer: Most core administrative processes are carried out by GSB staff; some,

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd