Question 1

Because of the heightened competition resulting from globalization,most companies find little strategic value in long-range forecasts.

Accepted Answer

A) True 
 B)False

Question 2

Time series methods assume that demand patterns in the past are a good predictor of demand in the future.

Accepted Answer

A) True 
 B)False

Question 3

One way to deal with the bullwhip effect is to develop and share the forecasts with other supply chain members.

Accepted Answer

A) True 
 B)False

Question 4

A forecasting model has produced the following forecasts:  The forecast error for February is

Accepted Answer

A)  10.
B)  -10.
C)  -15.
D)  -5E) A) and B)
F) None of the above

Question 5

The mean absolute percentage deviation (MAPD) measures the absolute error as a percentage of

Accepted Answer

A)  all errors.
B)  per period demand.
C)  total demand.
D)  the average error.E) All of the above
F) None of the above

Exam 15: Forecasting

One way to deal with the bullwhip effect is to develop and share the forecasts with other supply chain members.