Essay on Forecast Index

Submitted By yjastudent2013
Words: 2038
Pages: 9
Open Document
Inventory Systems Summary
QRB-501
November 26th, 2012
Inventory Systems Summary
The inventory analysis is important to all companies as the control of inventory is the control of cost. The amount of inventory held at any location is subject to expense factors that are in full control of the business. Each member of the team analyzed the inventory of a company, and found advantages and disadvantages to each inventory system.
The NUKE Company (*name changed for employee protection*)
The inventory system of this company implements the Oracle system. The system accesses a large database that has stored data for over 30 years, and displays the information in a Graphical User Interface (GUI) for all employees. Each employee accesses the system through different modules based on their job criteria.
The Oracle system is the latest inventory system of the company. The database it accesses is a conversion from the AS400 system that has been part of the company for over 30 years. The system had to be converted for compatibility reasons to be integrated for Oracle. The database includes the following data: parts description, parts sales, pricing, description revisions, notes and alerts, possibility of repairs, lead-time of parts from Japan, possibility of exchange credits, and other data.
The most important portion of the system is its optional module that allows for the forecasting of parts so that stock can be plentiful enough for purchases, services, and repairs; and provides the ability to increase or decrease parts based on inventory control measures for supply and demand of the market. The system does this automatically using internal program algorithms based on the database to place orders from Japan as efficiently as possible. The forecasting system is monitored, updated, and controlled around the clock. The database is constantly changing because of the purchases from customers, usage by technical services, and usage by the repair department. These changes will have a direct affect on the forecast module to purchase parts from Japan because of changes in the database.
The system has the advantage to integrate other modules to further help in the forecasting of parts for the company by allowing for other factors that are not being considered. The other factors could be for other departments of the company such as the direct order and express order departments that currently have a different forecasting system. If a system could be implemented for all three departments (which is a strong possibility) it could save the company a significant amount in expenses.
A disadvantage of the system is the inability to customize the system because the company implemented it as an “as-is” solution. If the company had customized the system from the ground-up by understanding, the responsibilities of each department the current system would have cost less and it would be a system to aid in the process of all departments. The system needs constant upgrades and edits to stay functional with any department changes. Each time this is done it costs the company financial resources that could have been saved or used in another area of the company.
Inventory System of Domino’s Pizza Domino’s Pizza employs a perpetual-type, centralized inventory system for its corporate-owned stores. Each Domino’s Pizza in the United States receives its product from one of several strategically placed warehouses across the country. These warehouses are known to store employees as the “commissary,” and commissary trucks make deliveries to the stores two to three times per week depending upon the sales volume of the individual store. Except for a few cleaning supplies, Domino’s Pizza stores receive all of its food and goods through the commissary. When a store receives a commissary shipment, the employees must check the delivered product to ensure that it matches the information on the packing slip. The corporate office uses the information
Show More

Related Documents: Essay on Forecast Index

Essay about Forecasting with Indices

predict future outcomes based on past performance in an attempt to prepare for presented complexities and constraints. For the purposes of the week three individual assignment the Winter Historical Inventory Data was utilized to develop a fifth year forecast. This data was comprised of four years of typical seasonal demand of winter highs and separated by individual months; see Table 1. Table 1 | | | | | | Winter Historical Inventory Data | | | | | | | Year 1 | Year 2 | Year 3 |…

Words 1023 - Pages 5

Essay on Resource utilization plan

integral role in the Resource Management process and are required to forecast the amount of time they plan to spend on Project, BAU (Business As Usual), and Administrative activities for the next 3 months minimum 6 months preferred. Forecasting is only one part of the Resource Utilization Solution, but it is only useful as long as Colleagues also enter their actuals into a Time Entry System. These two pieces of information, Forecast and Actuals, are used to create Variance reports which are available…

Words 1010 - Pages 5

Forecasing with Indices Essay

Indices The information provided by the Winter Inventory covers a time frame of twelve months over a period of four years. With this information we calculate the Simple Index between each year starting with the first and second year, second and third year, third and fourth year, and first and fourth year. Also we calculate the index between the second, third and fourth year with the first year. From the information provided for the last four years, we can say that this company made their inventory…

Words 593 - Pages 3

Essay about Economic Derivatives

the auction system. The option prices can be used to construct a risk-neutral probability density function for each data release. Until the introduction of these Economic Derivatives such information was unavailable and probabilistic or density forecasts still remain quite rare. There are a number of economic metrics which can serve as the underlying information for economic derivatives. These metrics include: U.S. Non-Farm Payroll Non-farm payroll is gathered by the U.S. Bureau of Labor Statistics…

Words 1275 - Pages 6

Review On Productivity

Vicky Gu Key Concepts: 1. Productivity 2. Productivity Change Ch.1, p.14 Productivity is the ratio of outputs (goods and services) divided by the inputs (resources, such as labor and capital) Productivity (P) = = Productivity Change (Productivity index) is used to compare a process’ productivity at a given time (P2) to the same process’ productivity at an earlier time (P1) P2  P1 Growth Rate  P1 Example – Last week a company produced 150 units using 200 hours of labor, and found to have 10 defective…

Words 3123 - Pages 13

Analysis On Forecasting

Diagrams • Time-Series Models • Moving Averages • Exponential Smoothing • Trend Projections 3 Topics (2) • Seasonal Variations • Cyclical Variations • Causal Forecasting Methods • Regression Analysis • Monitoring and Controlling Forecasts • Using the Computer to Forecast • Key Equations • Summary 4 Schedule • #1 - Friday, 22/04/2011 : 18.00 -21.00 • #2 – Saturday, 23/04/2011 : 9.00 -12.00 • #3 - Saturday, 23/04/2011 : 13.00 -16.00 • #4 - Friday, 29/04/2011 : 18.00 -21.00 • #5 - Friday, 06/05/2011…

Words 5226 - Pages 21

Test: Output and Proj Man Forecast Essay

Ft = Ft-1 + α(At-1 – Ft-1) Tt = β(Ft – Ft-1) + (1 – β)Tt-1 β = smoothing constant for trend α = Smoothing(weighting) constant Forecast include trend = Ft + Tt Seasonality: 1) average demand of each season. 2) average all season demands 3) Find seasonal index with [1)/2)] 4) estimate next year total annual demand 5) total demand/ # of seasons*index R-Charts: UCL = D R LCL = D R Prdvty: Why: measure of output, improvement leads to better efficiency, standard of living, higher payments…

Words 869 - Pages 4

Petroleum and Bakken Crude Oil Essay

risk of Alcoa? Calculate the foreign currency exposure of Alcoa. Type "FXIP" <Go> or hit currency key Typle "OUTL" <Go> Select 1 for interest rates forecasts Select 2 or "FXFC" for foreign exchange forecasts Select graph button next to forecast in spot column. Select 3 for commodity price forecasts for Aluminum Select 4 or "ECFC" <Go> for economic forecasts For assessment of country risk: Type "CSDR <Go>" to get sovereign debt ratings Short Term Debt Long Term Debt Since Alcoa is an US based company…

Words 455 - Pages 2

Chocolate Market In Malaysia To 2014

Brochure More information from http://www.researchandmarkets.com/reports/1796653/ Chocolate Market in Malaysia to 2014 (Confectionery) Description: Introduction Chocolate Market in Malaysia to 2014 (Confectionery) is a comprehensive resource for chocolate market data from 2004 to 2014 and market/company shares for 2008-09.This report also provides data on expenditure and consumption as well as key distribution channels, and reveals the leading companies in the Malaysian chocolate market. Features…

Words 1119 - Pages 5

Marriott Rooms Forecasting Essay

the base, index, and trend starting values are examined through multiple ESM methods, the basic ESM forecasting method is used to make Tuesday afternoons forecast for the next weeks demand starting Saturday through Friday. As seen in figure 2 of the four options, Basic, Trend, Seasonal, Winter’s forecasting model (Weatherford & Bodily,1990), the Basic model gives the lowest mean absolute percentage error on placing the adjusted pickup ratio data. The difference between demand and forecast is shown…

Words 2485 - Pages 10