Forecast Sensitivity

Nick T. Thomopoulos ()
Additional contact information
Nick T. Thomopoulos: Illinois Institute of Technology

Chapter 8 in Demand Forecasting for Inventory Control, 2015, pp 107-117 from Springer

Abstract: Abstract Along the supply chain, in distribution centers, stores, dealers, so forth, forecasts are in continual need for inventory decisions to project the flow of demands over the future months for each item stocked. The more accurate the forecasts, the better the inventory decisions and the more profitable the entity. A 10 % decrease in the measure of the forecast error will result in approximately a 10+ percent decrease in the amount of safety stock needed.

Keywords: Future Months; Forecast Error; Horizontal Demand; Historical Demand; Discounting Parameter (search for similar items in EconPapers)
Date: 2015
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-319-11976-2_8

Ordering information: This item can be ordered from
http://www.springer.com/9783319119762

DOI: 10.1007/978-3-319-11976-2_8

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().