Question 1

Referring to forecasting,discuss the concepts of stability and responsiveness.

Accepted Answer

Stability refers to the ability of a for

Question 2

Table 10.7
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Units Sold } \
( 00 )
\end{array} \
\hline 1 & 150 \
2 & 145 \
3 & 160 \
4 & 180 \
5 & 220 \
\hline
\end{array}$$
-Use the information in Table 10.7.The forecast for month 4 is

Accepted Answer

A)  less than or equal to 140 units. 
B)  greater than 140 but less than or equal to 150 
C)  greater than 150 but less than or equal to 160 units. 
D)  greater than 160 units. 
A)  less than or equal to 140 units. 
B)  greater than 140 but less than or equal to 150 
C)  greater than 150 but less than or equal to 160 units. 
D)  greater than 160 units.

Question 3

A systematic increase or decrease in the mean of a demand time series is referred to as

Accepted Answer

A)  random variation. 
B)  a seasonal pattern. 
C)  a cyclical adjustment. 
D)  a trend. 
A)  random variation. 
B)  a seasonal pattern. 
C)  a cyclical adjustment. 
D)  a trend.

Question 4

Table 10.7
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Units Sold } \
( 00 )
\end{array} \
\hline 1 & 150 \
2 & 145 \
3 & 160 \
4 & 180 \
5 & 220 \
\hline
\end{array}$$
-Use the information in Table 10.7.The cumulative sum of errors CFE from months 2 through 5 is

Accepted Answer

A)  less than or equal to 80. 
B)  greater than 80 but less than or equal to 85. 
C)  greater than 87 but less than or equal to 90. 
D)  greater than 90. 
A)  less than or equal to 80. 
B)  greater than 80 but less than or equal to 85. 
C)  greater than 87 but less than or equal to 90. 
D)  greater than 90.

Question 5

Table 10.7
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Units Sold } \
( 00 )
\end{array} \
\hline 1 & 150 \
2 & 145 \
3 & 160 \
4 & 180 \
5 & 220 \
\hline
\end{array}$$
-TOMBOW is a small manufacturer of pencils and has had the following sales record for the most recent five months: Use the information in Table 10.7.The forecast for month 2 is

Accepted Answer

A)  less than or equal to 120 units. 
B)  greater than 120 but less than or equal to 140 units. 
C)  greater than 140 but less than or equal to 160 units. 
D)  greater than 160 units. 
A)  less than or equal to 120 units. 
B)  greater than 120 but less than or equal to 140 units. 
C)  greater than 140 but less than or equal to 160 units. 
D)  greater than 160 units.

Question 6

Table 10.8
A manager wants to forecast the monthly demand
for a machine the company produces.
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { No. Machines } \
\text { Sold }
\end{array} \
\hline 1 & 50 \
2 & 65 \
3 & 52 \
4 & 56 \
5 & 55 \
6 & 60 \
\hline
\end{array}$$
-Consider the following data concerning the performance of a forecasting method.
$$\begin{array} { | c | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Actual } \
\text { Demand }
\end{array} & \text { Forecast } \
\hline 1 & 300 & 270 \
2 & 200 & 280 \
3 & 270 & 260 \
4 & 250 & 270 \
5 & 310 & 250 \
\hline
\end{array}$$

Accepted Answer

A)  The CFE is greater than 100, and the MAD is less than 50. 
B)  The CFE is less than 100, and the MAD is less than 50. 
C)  The CFE is less than 100, and the MAD is greater than 50. 
D)  The CFE is greater than 100, and the MAD is greater than 50. 
A)  The CFE is greater than 100, and the MAD is less than 50. 
B)  The CFE is less than 100, and the MAD is less than 50. 
C)  The CFE is less than 100, and the MAD is greater than 50. 
D)  The CFE is greater than 100, and the MAD is greater than 50.

Question 7

Describe five methods that marketing and operation managers can use to jointly manage demand .

Accepted Answer

1.Complimentary services and p

Question 8

Exponential smoothing is an expensive forecasting method.

Accepted Answer

A) True 
 B)False

Question 9

Discuss the cumulative sum of forecast errors (CFE).

Accepted Answer

The CFE measures the total forecast erro

Question 10

Which forecasting technique would you consider for technological forecasts?

Accepted Answer

I would consider the Delphi method becau

Question 11

What is the value of r = - 1 mean in regression analysis?

Accepted Answer

There is a strong ne

Question 12

Sales force estimates are extremely useful for technological forecasting.

Accepted Answer

A) True 
 B)False

Question 13

Forecasting analysts try to minimize the effects of biased and random errors when determining a forecasting method.

Accepted Answer

A) True 
 B)False

Question 14

Table 10.7
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Units Sold } \
( 00 )
\end{array} \
\hline 1 & 150 \
2 & 145 \
3 & 160 \
4 & 180 \
5 & 220 \
\hline
\end{array}$$
-Use the information in Table 10.7.The forecast for month 5 is

Accepted Answer

A)  less than or equal to 150 units. 
B)  greater than 150 but less than or equal to 160 units. 
C)  greater than 160 but less than or equal to 170 units. 
D)  greater than 170 units. 
A)  less than or equal to 150 units. 
B)  greater than 150 but less than or equal to 160 units. 
C)  greater than 160 but less than or equal to 170 units. 
D)  greater than 170 units.

Question 15

Discuss judgment methods of forecasting.

Accepted Answer

Judgment methods,which are qualitative i

Question 16

Table 10.7
 $$\begin{array} { | c | c | } 
\hline \text { Month } & \begin{array} { c } 
\text { Units Sold } \
( 00 )
\end{array} \
\hline 1 & 150 \
2 & 145 \
3 & 160 \
4 & 180 \
5 & 220 \
\hline
\end{array}$$
-Use the information in Table 10.7.The forecast for month 3 is

Accepted Answer

A)  less than or equal to 140 units. 
B)  greater than 140 but less than or equal to 160 units. 
C)  greater than 160 but less than or equal to 180 units. 
D)  greater than 180 units. 
A)  less than or equal to 140 units. 
B)  greater than 140 but less than or equal to 160 units. 
C)  greater than 160 but less than or equal to 180 units. 
D)  greater than 180 units.

Question 17

Using sales force estimates for forecasting has the advantage that

Accepted Answer

A)  no biases exist in the forecasts. 
B)  statistical estimates of seasonal factors are more precise than any other approach. 
C)  forecasts of individual sale force members can be easily combined to get regional or national sales totals. 
D)  confusion between customer "wants" (wish list) and customer "needs" (necessary purchases) is eliminated. 
A)  no biases exist in the forecasts. 
B)  statistical estimates of seasonal factors are more precise than any other approach. 
C)  forecasts of individual sale force members can be easily combined to get regional or national sales totals. 
D)  confusion between customer "wants" (wish list) and customer "needs" (necessary purchases) is eliminated.

Question 18

Why are forecasts for product families typically more accurate than forecasts for the individual items within a product family?

Accepted Answer

By clustering several similar products o

Question 19

The judgment methods of forecasting are to be used for purposes of

Accepted Answer

A)  making adjustments to quantitative forecasts due to unusual circumstances. 
B)  forecasting seasonal demands in lieu of time series approaches. 
C)  avoiding the calculations necessary for quantitative forecasts. 
D)  making forecasts more variable. 
A)  making adjustments to quantitative forecasts due to unusual circumstances. 
B)  forecasting seasonal demands in lieu of time series approaches. 
C)  avoiding the calculations necessary for quantitative forecasts. 
D)  making forecasts more variable.

Question 20

Combination forecasting is a method of forecasting that selects the best forecast from a group of forecasts generated by simple techniques.

Accepted Answer

A) True 
 B)False

Exam 10: Managing Demand and Forecasting

Referring to forecasting,discuss the concepts of stability and responsiveness.

Table 10.7 Month Units Sold (00) 1 150 2 145 3 160 4 180 5 220 -Use the information in Table 10.7.The forecast for month 4 is

A systematic increase or decrease in the mean of a demand time series is referred to as

Table 10.7 Month Units Sold (00) 1 150 2 145 3 160 4 180 5 220 -Use the information in Table 10.7.The cumulative sum of errors CFE from months 2 through 5 is

Table 10.7 Month Units Sold (00) 1 150 2 145 3 160 4 180 5 220 -TOMBOW is a small manufacturer of pencils and has had the following sales record for the most recent five months: Use the information in Table 10.7.The forecast for month 2 is

Describe five methods that marketing and operation managers can use to jointly manage demand .

Exponential smoothing is an expensive forecasting method.

Discuss the cumulative sum of forecast errors (CFE).

Which forecasting technique would you consider for technological forecasts?

What is the value of r = - 1 mean in regression analysis?

Sales force estimates are extremely useful for technological forecasting.

Forecasting analysts try to minimize the effects of biased and random errors when determining a forecasting method.

Table 10.7 Month Units Sold (00) 1 150 2 145 3 160 4 180 5 220 -Use the information in Table 10.7.The forecast for month 5 is

Discuss judgment methods of forecasting.

Table 10.7 Month Units Sold (00) 1 150 2 145 3 160 4 180 5 220 -Use the information in Table 10.7.The forecast for month 3 is

Using sales force estimates for forecasting has the advantage that

Why are forecasts for product families typically more accurate than forecasts for the individual items within a product family?

The judgment methods of forecasting are to be used for purposes of

Combination forecasting is a method of forecasting that selects the best forecast from a group of forecasts generated by simple techniques.

Creating Customer Value through Operations

Supply Chain Management

Process Configuration

Capacity

Inventory Management

Quality and Process Improvement

Lean Systems

Managing Projects

Location and Layout

Operations Planning and Scheduling

Resource Planning

Decision Making

Financial Analysis

Work Measurement

Learning Curve Analysis

Computer-Integrated Manufacturing

Acceptance Sampling Plans

Simulation

Special Inventory Models

Linear Programming

Waiting Lines

Filters