The demand for Krispee Crunchies a favorite breakfast cereal of people born in the 1940s is experience

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The demand for Krispee Crunchies a favorite breakfast cereal of people born in the 1940s is experience a decline. The company warns to monitor demand for this product closely as it nears the end of its life cycle. The trend-adjusted exponential smoothing method is used with α = 0.1 and β = 02. At the end of December the updated estimate for the average number of cases sold per month, A, was 900,000 and the updated trend, T, was —50,000 per month. The Following table shows the actual sales history for January, February, and March. Generate forecasts for February, March and April.

March Sales

January ......890.000

February ......800,000

March ..... 825000


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Operations management processes and supply chain

ISBN: 978-0136065760

9th edition

Authors: Lee J Krajewski, Larry P Ritzman, Manoj K Malhotra

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