Question: Customer Order Manager Kenny has recieved a request from a customer on how many units of a certain product he could deliver in week 1

Customer Order Manager Kenny has recieved a request from a customer on how many units of a certain product he could deliver in week 1. In their manufacturing facility, the company works with frozen time periods of six weeks. The production quantity is 10000 units, the lead time to finish their products is 3 weeks and they use a safety time of 1 week. However, the lead time to most of their customers is within a week.
1. How many units can Kenny promise the customer in the first week?
2. What is the forecast for week 7 using moving average (n=6)?
3. What is the forecast for week 7 using exponential smoothing (=0.3)?
Kenny wish to follow up on forecasting, to get a feel for how well the forecasting has worked.
4. What is the Average Forecast Error (AFE) for the forecast during the six first weeks?
5. What is the Mean Absolute Deviation (MAD) for the forecast during the six first weeks?
In addition what has already been reserved (see above), let's assume Kenny receives an order of 2000 units for delivery in week 7 and another 2500 units for delivery in week 8. This order is agreed in week 1. Kenny runs some forecast tests and estimates 3600 units for week 7. According to the table above, production is planned for week 1 and week 4.
6. After week 4, in what week must production be available in order to meet the demand?
7. In reference to question 2f above, what should the planned production be?
8. In reference to questions 2f-g, what is the PAB for week 7?
9. In reference to questions 2f-g, what is the PAB for week 8?
Customer Order Manager Kenny has recieved a

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