Purchase Solution

Forecasting techniques,factors in selection of forecast

Not what you're looking for?

Ask Custom Question

Understanding Forecasting Techniques

Introduction: All firms conduct their activities in an uncertain environment and use forecasting techniques to reduce this uncertainty. The challenge facing a forecaster is choosing the right technique. However, forecasting is not a substitute for managerial decision-making; it simply acts as an aid to the process.

Task: Do you agree with the above statement?

Begin your discussion as follows:
State why you agree or disagree with this statement. Suggest the prerequisites of a good forecast.
Review the postings of at least two other students. Do you agree that managers need to develop realistic expectations from forecasting?

Purchase this Solution
Solution Summary

The answer contains the explanation regarding simulation, time series, factors to be considered in the selection of forecasting technique and prerequisites of good forecast.

Solution Preview

All firms conduct their activities in an uncertain environment and use forecasting techniques to reduce this uncertainty. The challenge facing a forecaster is choosing the right technique. However, forecasting is not a substitute for managerial decision-making; it simply acts as an aid to the process.

Forecasting is the estimation in the unknown circumstances or unknown condition. The following techniques can be used:

1. Time series analysis: In Time series analysis, the historical data for future decision making. Here, like extrapolation, moving average ...

Purchase this Solution
Free BrainMass Quizzes
Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Introduction to Finance

This quiz test introductory finance topics.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.

Accounting: Statement of Cash flows

This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

View More Free Quizzes
Related BrainMass Solutions

  • Different Types of Forecasting Techniques

    This involves the determination of the use of the forecast, selection of the quantities which are to be forecasted, determination of the time limit in which the forecast is to be carried out, identifying the relevant model of forecasting, gathering the

  • Forecast Technique

    Komatsu can use a combination of quantitative as well as qualitative forecasting techniques to estimate future market demand and sales prospects as well as other forecasts about the market in Iraq.

  • Company research outline

    In the case of the private university, the sales forecast is equivalent to enrolment as well as retention forecast which is a result of the forecasting technique used.

  • Compare and contrast forecasting methods

    Further, The selection of the appropriate technique also depends upon the purpose of the forecast, the time horizon desired, and the allowed cost.

  • Forecasing Definition and Market Demand

    There are various techniques of forecasting: Qualitative techniques involve primarily judgment, and quantitative, involving primarily historical data and mathematical models.

  • Forecasting techniques for linear regression

    Make sure to include the equation for the line in the linear regression calculation. Also submit a half of page explaining at least five factors that could affect forecast accuracy at Ross and Pugett.

  • Manychip-Forecasting

    This can seriously misguide the forecast and may result in development of faulty modifications in the product. All forecasting techniques are based on a set of assumptions.

  • Demand Forecasting: Measuring forecast accuracy and comparing different techniques/algorithms

    It is very important to measure the performance of the techniques and identify the best fit. In this solution we explore two forecasting techniques and performance measures.

  • Appropriate Forecasting Technique for Aldi Foods

    Casual forecasting utilizes either known or perceived relationships between the factors of forecast and either internal or external factors.

View More Related Solutions