Moving Average Forecasting Forecasting is a pervasive activity in everyday life. We wake up in the morning to forecasts about the weather, eat lunch to forecast on cable TV for the stock market, go to bed to forecasts about the state of the world the next day. Virtually every business attempts to do some kind of forecasting on a regular basis. You will most definitely be using forecasting as you work with organizations.
Forecasting is the foundation for all planning activities which follow.
It is critical to be as accurate as possible when it comes to forecasting. Do not be fooled by the straightforward techniques used in this chapter. These methods are used by real organizations. Example Problems Problem Statement for Moving Average, Weighted Moving Average, and Exponential Smoothing Gunn's Tannery supplies leather to the South Fork Boot Company on a monthly basis for manufacturing western style cowboy boots. South Fork does not keep a large stock of inventory on hand, thus the tannery must provide sufficient leather to meet demand on a timely basis.