Linear Regression and Simple Exponential Smoothing (SES) Forecasting<\/p>\n
Scenario:\u00a0You are a consultant for the Diligent Consulting Group (DCG). You have completed the first assignment, developing and testing a forecasting method that uses Linear Regression (LR) techniques (Module 2 Case). However, the consulting manager at DCG wants to try a different forecasting method as well. Now you decide to try Single Exponential Smoothing (SES) to forecast sales.
\nUsing this Excel template: Data chart for BUS520 SLP 2, do the following:
\nCalculate the MAPE for Year 2 Linear Regression forecast (use the first spreadsheet tab labeled \u201cYear 2 Forecast \u2013 MAPE\u201d).
\nCalculate forecasted sales for Year 2 using SES (use the second spreadsheet tab labeled \u201cSES \u2013 MAPE\u201d). Use 0.15 and 0.90 alphas.
\nCompare the MAPE calculated for the LR forecast (#1 above) with the MAPEs calculated using SES.
\nThen write a report to your boss in which you discuss the results obtained above. Using calculated MAPE values, make a recommendation concerning which method appears to be more accurate for the Year 2 data: SES or Linear Regression.<\/p>\n","protected":false},"excerpt":{"rendered":"
Linear Regression and Simple Exponential Smoothing (SES) Forecasting Scenario:\u00a0You are a consultant for the Diligent Consulting Group (DCG). You have completed the first assignment, developing and testing a forecasting method that uses Linear Regression (LR) techniques (Module 2 Case). However, Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-426246","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/426246","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=426246"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/426246\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=426246"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=426246"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=426246"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}