CHAPTER 2-Demand Forecasting

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    PRODUCTIONPLANNING AND

    CONTROL(MEFB 433)

    Dr. Weria Khaksar

    Email: [email protected]

    Room No. BN-03-08

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    2- DEMANDFORECASTING

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     Common Fea"%re! #n A11Forea!"!&

    . Te+ a!!%me "a" "e !ame!+!"em "a" e5#!"ed #n "e a!"67#11 on"#n%e #n "e %"%re.

    2. Forea!"! are no" ere" anda"%a1 re!%1"! %!%a11+ d#8er romred#"ed ,a1%e! (ERROR).

    3. Forea!" o $ro%! o #"em! "end"o 'e more a%ra"e "an#nd#,#d%a1!.

    4. Forea!" a%ra+ derea!e! a!

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    2- Demand Forea!"#n$E1emen"! o a Good Forea!"&

    Te orea!" !o%1d 'e&

    .T#me1+

    2.A%ra"e3.Re1#a'1e

    4.Mean#n$%1

    9.Ba!ed on a !#m1e and%nder!"anda'1e me"od

    :.Co!"-e8e"#,e

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    2- Demand Forea!"#n$S"e! #n "e Forea!"#n$ Proe!!&

    . De"erm#ne "e %ro!e o "eorea!".

    2. E!"a'1#! a "#me or#;on.

    3. Se1e" a orea!"#n$ "en#

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    2- Demand Forea!"#n$Forea!" A%ra+&

    A%ra+ o a orea!" #! m#n#m#;#n$ "eorea!" error.

    A%ra+ # one o "e a"or! oroo!#n$ a orea!"#n$ "en#

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    2- Demand Forea!"#n$Forea!" A%ra+&

    Tree ommon1+ %!ed mea!%re! or!%mmar#;#n$ #!"or#a1 error! are&

    . Mean A'!o1%"e De,#a"#on (MAD)& ',era$easolute error

    2. Mean S

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    2- Demand Forea!"#n$Forea!" A%ra+&

    E5am1e& Com%"e MAD6 MSE and MAPE or "eo11o7#n$ da"a6 !o7#n$ a"%a1 and red#"edn%m'er! o ao%n"! !er,#ed.

    2 24 25

    23 26

    3 26 25

    7 20 27

    5 23 22

    6 2 27

    4 26 24

    8 2 26

    2 24 25

    23 26

    3 26 25

    7 20 27

    5 23 22

    6 2 27

    4 26 24

    8 2 26

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    2- Demand Forea!"#n$Forea!" A%ra+&

    E5am1e& Com%"e MAD6 MSE and MAPE or "eo11o7#n$ da"a6 !o7#n$ a"%a1 and red#"edn%m'er! o ao%n"! !er,#ed.

    2 24 25 7 0.9

    23 26 -3 3 2.729

    3 26 25 2 2 2 0.769

    7 20 27 -7 7 26 2.09

    5 23 22 7 0.79

    6 2 27 5 5 5 .89

    4 26 24 -2 2 2 0.769

    8 2 26 -7 7 26 2.89

    - 46 20.69

    2 24 25 7 0.9

    23 26 -3 3 2.729

    3 26 25 2 2 2 0.769

    7 20 27 -7 7 26 2.09

    5 23 22 7 0.79

    6 2 27 5 5 5 .89

    4 26 24 -2 2 2 0.769

    8 2 26 -7 7 26 2.89

    - 46 20.69

     

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    2- Demand Forea!"#n$Forea!" A%ra+&

    Tree ommon1+ %!ed mea!%re! or!%mmar#;#n$ #!"or#a1 error! are&

    . MAD& /e#$"! a11 error! e,en1+.

    2. MSE& /e#$"! error! aord#n$ "o"e#r !

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    2- Demand Forea!"#n$Aroae! "o Forea!"#n$&

    Tere are "7o $enera1 aroae!&

    =UALITATI>E APPROACES& or sue!ti,e inuts#whi!h o(ten oose re!ise numeri!al des!rition.ermit in!lusion o( SOFT INFORMATION like human

    (a!tors# ersonal oinions and hun!hes. ;hesein(ormation are di

    =UANTITATI>E APPROACES& =n,ol,e either theroe!tion o( histori!al data or the de,eloment o(asso!iati,e models. ;hey use ARD DATA. >suallya,oid ersonal oinions.

    IN PRACTISE6 EITER OR BOT

    APPROACES MIGT BE USED TO

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#

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    2- Demand Forea!"#n$Common Forea!" Ten#nit /old# I

    3 7 5 6 4 8 200

    20

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    30

    70

    50

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    *e,el o( >nemloyment A9# ?

    >nit /old# I