Running Head: OPERATION FORECASTING
Course Name and Number
Quantitative forecasts involve the forming of projections with regard to the future. There
is the use of numerical facts as well as previous experience so as to forecast the upcoming
events. Different type of quantitative forecast methods include; Smoothing methods, Trend
Projection, Causal method and the Decomposition of time series. A comparison has been made
in the excel file.
With smoothing forecast, it is utilized for data that does not possess a clearly defined
pattern. When it comes to demand forecasting, smoothing method is utilized so as to remove the
random variation from the historical demand. Through this, one can efficiently identify the
demand patterns as well as demand levels for the purpose of the estimation of future demand. On
the other hand, trend projection is utilized for data with linear trend pattern. Causal method is
similar to the trend projection, however, it has an independent variable and a dependent variable.
Finally, the decomposition of time series is utilized when data has both trend and seasonality
Trend projection is the best method for selected hypothetical organization. The Trend
Projection Method is the most trad...