Appliance maker forecast consulting: You are hired to recommend a forecasting solution to a small-scale home appliance maker. The three managers namely the shop floor, marketing, and finance make an annual forecast for monthly demand. The actual demand along with their forecasts are available for the past two years in the file below. What are your observations and recommendation? If you must make a quantitative forecasting technique as a recommendation, which one you will choose, and how will convince the skeptical managers?

Forecasting sales at a home appliance maker
Month	Shop Manager	Marketing Manager	Finance Manager	Actual
1	3989	3700	3500	3604
2	3943	3900	3600	3555
3	3729	3890	3550	3804
4	3747	4100	3700	3730
5	3954	4050	3982	3914
6	4099	4205	4105	4336
7	3792	4094	4065	4208
8	3936	4393	4187	3968
9	3766	4414	3804	4284
10	3810	4197	4070	4207
11	3734	4070	4071	4146
12	3740	4643	3885	4246
13	3790	4362	3856	3822
14	4081	4400	3868	3896
15	3815	4708	3921	3904
16	4005	4752	4195	3878
17	4114	4518	4188	4123
18	3967	4729	4157	4218
19	3861	4647	4084	4200
20	4043	4895	4196	4211
21	3723	5162	4071	4276
22	4021	5104	4010	4300
23	3808	4636	4040	4573
24	3951	4706	4163	4295

Answer rating: 100% (QA)

Observations 1 The shop floor managers forecasts generally fall below the actual demand indicating a conservative approach to forecasting 2 The market... View the full answer