OM: Quiz #4
When sing a weighted moving average forecast, if I use a BLANK weight for ht most recent errand, I will have a forecast that is BLANK reflective of the recent data.
0.9, more
Given the set of running forecasts below, and the later actual resist, calculate the MAD.
15
Demand is 18,000 per year. Lead time = 2 months. Safety stock = 500. The reader point is:
18,000/12 = 1,500 * 2 = 3,000 + 500 = 3500
The sales for August, September and October are gibes as 9, 11, and 1 units. What is the 3 months moving average forecast for November?
9+11+1 = 20/3 = 6.6 = 7
ABC-Categorized inventory into three types. Which statement is correct?
A has larger $ value, smaller $ volume
In general, ROP and PR are a good fit for BLANK demand items
Dependent demand items
Given the set of running forecasts below, and the later actual results, calculate the MAD.
Difference between F and A then add them up and divide by the number of slots = 4
BLANK is the amount of inventory that minimizes inventory costs
EOQ
The annual demand is 1000. Holding cost per unit is $5. Ordering cost per unit is $4. What is EOQ?
EOQ = square root (2 * Demand * Order Cost/Holding Cost) = 40
BLANK is primarily using in a(n) BLANK manufacturing classification.
EOQ, Assembly Line
If demand is 60 units per month, the cost of holding one unit per year is $1, setup costs are $4.95, what is the EOQ? (Round the answer up)
EOQ= square root(2*(60*12)*4.95)/1) = 85
A grocery store is an example of BLANK supply chain
Efficient
Using the dat provided and and a = 0.20, what is the forecast for week 5? Assume D1 = F1.
F(t+1) = Ft+Alph(At-Ft) = 55.856
In exponential smoothing, the alpha factor...
Gives weight to the error from the pervious period
If Wendy's bought burger king, it is an example of BLANK integration
Horizontal
In forecasting, if I want a smoother forecast I should:
Increase the number of weeks in moving average forecast
R2 = measure of how much variation in the depend variable is explained by the indecent variable. When using this to evaluate a forecast...
Look for an R2 that approaches 1
MAPE stands for
Mean Absolute Percentage Error
MSE stand for
Mean Square Error
Every Friday I go to Kroger's -- before I go, I check the bathroom cabinet and determine how much toilet paper I need to bring my inventory back up to a minimum level. I am using...
Periodic Review
On the way home from UC vs. Tulas game, Kelley hears a "ding" and the car dashboard alerts her that she needs gas in the car. This could be compared with which inventory management system that we have discussed?
Reorder Point
ABC Company wants the inventory to not stock out at 95% (z=1.64) of the times. If the standard deviation during lead time is 5 units, the average daily demand is 1.9 and the lead time is 2 days then the ROP in units (round up the answer if needed).
Reorder Point = Demand During Lead Time + SS = 12
The annual demand is 1000. Weekly average demand is 200. Safety stock is 100. Lead time is 2 weeks. What is the reorder point?
Reorder Point = Demand during lead time + Safety stock = 200*2 = 400+ 100 = 500
The daily standard deviation of daily demand is 4 with a review period of 17 days and a lead time of 8 days. If the management sets the probability of not stocking out at 98% (z=2.05), what will be the safety stock? (Round the answer up if required)
SS = z* Standard Deciation during lead time and review period but first need to do the sigma T+L = --> 41
If the annual demand is 15,000 (50 weeks per year), a = 10 per week, lead time = 3 weeks. Use a confidence of 95% to calculate the safety stock (z=1.64)
SS = z* sigma of L = 1.64 times the square root of (3*(10)^2 = 28.4
BLANK forecasting seeks to fit a line through various data over time.
Simple Linear Regression
BLANK forecasting assumes the future will be extrapolated from the past, while BLANK forecasting relies upturn opinions and expertise.
Statistical, Qualitative
EOQ has an assumption of BLANK demand
Steady
Given the table, calculate a 3 months and 4 month moving average forecast. Using MSE as an evaluating took, which statement applies?
The MSE score indicates that the 3 month forecast is a better predictor. Create a table for 3 months & 4 months avg then subtract the demand & month avg to find the difference. Take the lowest one!
All of the following forecast are types of qualitative forecasts expect:
Time series
The sales figures along with the weights are given below. Calculate the weighted moving average forecast.
( (10*0.1) + (20*0.2) + (30*0.3) ) = 14
VMI is
Vendor Managed Inventory
Outsourcing and BLANK are opposites
Vertical Integration
In period review we always know
When to order
BLANK is an example of risk hedging supply chain
Delta buying oil refinery
