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Refer to Solved Problem. Using smoothing constants of .6 and .9, develop forecasts for the sales of VW Beetles. What effect did the smoothing constant have on the forecast?
Problem - The following gives the number of pints of type B blood used at Woodlawn Hospital in the past 6 weeks:
a) Forecast the demand for the week of October 12 using a 3-week moving average.
b) Use a 3-week weighted moving average, with weights of .1, .3, and .6, using .6 for the most recent week. Forecast demand for the week of October 12.
c) Compute the forecast for the week of October 12 using exponential smoothing with a forecast for August 31 of 360 and a = .2.
Assume the role of communication consultant. You have been asked to assist a rather traditional organization in changing its culture to a more open and collaborative culture.
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