- Description
OPS 571T Wk 5 – Apply Week 5 Assignment
There are no differences in strategic and tactical forecasting. A forecast is a mathematical projection, and its ultimate purpose should make no difference to the analyst.
True or False
MAD statistics can be used to generate tracking signals.
True or False
In a forecasting model using simple moving average, the shorter the time span used for calculating the moving average, the closer the average follows volatile trends.
True or False
A company has actual unit demand for three consecutive years of 124, 126, and 135. The respective forecasts for the same three years are 120, 120, and 130. Which of the following is the resulting MAD value that can be computed from these data?
Multiple Choice
123
3
1
5
15
Bayesian analysis is the simplest way to choose weights for the weighted moving average forecasting model.
True or False
False
A company has calculated its running sum of forecast errors to be 500, and its mean absolute deviation is exactly 35. Which of the following is the company’s tracking signal?
Multiple Choice
Cannot be calculated based on this information
Exactly 35
About 0.07
About 14.3
More than 35
Qualitative forecasting techniques generally take advantage of the knowledge of experts and therefore do not require much judgment.
True or False
False
In general, which forecasting time frame is best to detect general trends?
Multiple Choice
Long-range forecasts
Quick-time forecasts
Rapid-change forecasts
Short-term forecasts
Medium-term forecasts
You are using an exponential smoothing model for forecasting. The running sum of the forecast error statistics (RSFE) are calculated each time a forecast is generated. You find the last RSFE to be 34. Originally, the forecasting model used was selected because of its relatively low MAD of 0.4. To determine when it is time to re-evaluate the usefulness of the exponential smoothing model, you compute tracking signals. Which of the following is the resulting tracking signal?
Multiple Choice
60
8
85
12.9
13.6
In time series data depicting demand, which of the following is not considered a component of demand variation?
Multiple Choice
Trend
Autocorrelation
Variance
Seasonal
Cyclical
A central premise of exponential smoothing is that more recent data are less indicative of the future than data from the distant past.
True or False
False
Which of the following forecasting methodologies is considered a qualitative forecasting technique?
Multiple Choice
Simple moving average
Multiple regression
Market research
Exponential smoothing
Linear regression
Which of the following is a major factor that distinguishes service design and development from manufacturing design and development?
Multiple Choice
The service package is the major output of the development process.
The service process and service product can be developed independently.
Capacity decisions are much more critical in manufacturing operations.
Manufacturing is far more capital intensive than services.
The service package has the same legal protection available to manufactured goods.
Effective management of services requires a clear focus on understanding operations, so much so that it may even require the exclusion of consideration of marketing or personnel.
True or False
Market research is a quantitative method of forecasting.
True or False
A company wants to forecast demand using the simple moving average. If the company uses four prior yearly sales values (i.e., year 2013= 100, year 2014= 120, year 2015= 140, and year 2016= 210), which of the following is the simple moving average forecast for year 2017?
Multiple Choice
145.5
100.5
140.0
155.0
142.5
The customer is (or should be) the second most important focal point of all decisions in a service organization.
True or False
A facilitating good is something purchased or consumed by the buyer or items provided to the customer.
True or False
Which of the following forecasting methodologies is considered a time series forecasting technique?
Multiple Choice
Historical analogy
Leading indicators
Simple moving average
Market research
Simulation
Poka-yoke is roughly translated from Japanese as “quality management.”
True or False
An important aspect of service products is that they cannot be inventoried.
True or False
A company wants to forecast demand using the weighted moving average. If the company uses two prior yearly sales values (i.e., year 2015= 110 and year 2016= 130), and we want to weight year 2015at 10 percent and year 2016at 90 percent, which of the following is the weighted moving average forecast for year 2017?
Multiple Choice
120
128
142
133
138
In forecasting, RSFE stands for “running sum of forecast errors.”
True or False
Which of the following is not an element of a good service guarantee?
Multiple Choice
The customer controls the process
Unconditional (no small print)
Easy to communicate
Meaningful to the customer
Easy to understand
Marketing is responsible for fulfilling the service guarantee.
True or False