Using the simple exponential smoothing method (SESM), compute the forecasts for the February 2022 to March 2023 period.Use a smoothing constant of 0.2 and assume a forecast of 7 000 units for January 2022. 5.2. Compute the three-month weighted moving average (3MWMA) forecasts for the April 2022 to March 2023 period, using weights of 0.2, 0.3, and 0,5 (oldest data to newest data, respectively). 5.3. Using the forecasts calculated for the April 2022 to March 2023 period, calculate the Mean Absolute Percentage Error (MAPE) of the simple smoothing method and the MAPE of the three-month weighted moving average method. 5.4. Which of the two methods should the demand planner use to forecast the volume of export of the next-Gen Ranger. Explain why?
Using the information provided below, answer the following questions.
INFORMATION
The data in the table below shows the number of Next-generation Rangers exported to over 100 countries through Durban’s roll-on roll-off (RORO) vehicle terminal during 2022 and the first quarter of 2023.
A demand planner wants to compare the relative performance of the weighted moving average method against the simple exponential method in
Required:
5.1. Using the simple exponential smoothing method (SESM), compute the forecasts for the February 2022 to March 2023 period.Use a smoothing constant of 0.2 and assume a forecast of 7 000 units for January 2022.
5.2. Compute the three-month weighted moving average (3MWMA) forecasts for the April 2022 to March 2023 period, using weights of 0.2, 0.3, and 0,5 (oldest data to newest data, respectively).
5.3. Using the forecasts calculated for the April 2022 to March 2023 period, calculate the Mean Absolute Percentage Error (MAPE) of the simple smoothing method and the MAPE of the three-month weighted moving average method.
5.4. Which of the two methods should the demand planner use to forecast the volume of export of the next-Gen Ranger. Explain why?
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