Forecasting Techniques y Forecast is very often inaccurate does not mean that nothing can be done to improve the

forcast.

Qualitative Methods y y Approaches to forecasting based on intuition or judgmental evaluation Generally used when data are limited, unavailable, or not currently relevant.

FOUR COMMON QUALITATIVE FORECASTING: y y y y JURY OF EXECUTIVE OPINION DELPHI METHOD SALES FORCE COMPOSITE CONSUMER SURVEY

Quantitative Method y It uses mathematical techniques that are based in historical data and can include casual variables to forecast demand.

COMPONENTS OF TIME SERIES DATA y y y y TREND VARATIONS CYCLICAL VARIATIONS SEASONAL VARIATIONS RANDOM VARIATIONS