article

Forecasting Sales by Exponentially Weighted Moving Averages

Author:

Peter R. WintersAuthors Info & Claims

Management Science, Volume 6, Issue 3

Pages 324 - 342

https://doi.org/10.1287/mnsc.6.3.324

Published: 01 April 1960 Publication History

Abstract

The growing use of computers for mechanized inventory control and production planning has brought with it the need for explicit forecasts of sales and usage for individual products and materials. These forecasts must be made on a routine basis for thousands of products, so that they must be made quickly, and, both in terms of computing time and information storage, cheaply; they should be responsive to changing conditions. The paper presents a method of forecasting sales which has these desirable characteristics, and which in terms of ability to forecast compares favorably with other, more traditional methods. Several models of the exponential forecasting system are presented, along with several examples of application.

References

[1]

J. F. Magee, Production Planing and Inventory Control, McGraw-Hill, 1958.

Google Scholar

[2]

J. F. Muth, "Optimal Properties of Exponentially Weighted Forecasts," Journal of the American Statistical Association, forthcoming.

Google Scholar

[3]

G. N. Lance, "Solution of Algebraic and Transcendental Equations on an Automatic Digital Computer," Journal of the Association for Computing Machinery, January, 1959.

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Management Science Volume 6, Issue 3

April 1960

140 pages

ISSN:0025-1909

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INFORMS

Linthicum, MD, United States

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Published: 01 April 1960

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https://dl.acm.org/doi/10.1007/s10586-024-04686-y
Eiglsperger JHaselbeck FStiele VSerrano CLim-Trinh KMenrad KHannus TGrimm D(2024)Forecasting seasonally fluctuating sales of perishable products in the horticultural industryExpert Systems with Applications: An International Journal10.1016/j.eswa.2024.123438249:PAOnline publication date: 1-Sep-2024
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