Essays on Furniture Company

Abstract

Linear Regression (LR) forecasts the value of a random variable (dependent variable) for a given value of an associated independent variable. The regression equation provides the formula for such a calculation. Simple Exponential Smoothing (SES) forecasts the bases its forecasts on a weighted average of past data, with more weight on the more recent periods. A smoothing factor helps in providing weight. It generally forecasts for the short-term. In the present case, we forecast the sales data for year-2 for ABC Furniture Company using both the methods. For SES, we use two smoothing factors α equal to 0.15 and 0.90 ...

Planning future activity plays a crucial role in a company as it plans for the future demands of the market. The future planning of the company for the production, finance, marketing, etc., can be done through forecasting technique. The forecasting plan helps the organization to establish the sales performance goals, get real and accurate pictures of sales, estimates the number of raw materials, the workforce of the production. ABC Furniture Company is one such company that likes to predict the sales for their subsequent year based on the customer traffic data (Shim, 2000). However, before proceeding with the sales ...

Introduction

Space Age Furniture Company produces two major products, Gemini TV stand and Saturn Microwave stand. However, both of these products require a single common product, 3079. This material can only be produced on one machine and only one machinist knows how to operate it. This is one issue that results in frequent overtime for the machinist. Additionally, this material (3079) is used in both the subassemblies for Gemini TV stand and Saturn microwave stand. The major problem with the subassembly is that the minimum lot size is 1000 for both the subassemblies. Higher lot size is increasing the inventory ...

Part 1

Different types of market research An organization, for instance, a furniture business will select the type market research based on the information it intends to acquire from the market. The need for research in business cannot be overemphasized because of the tremendous role that it plays in enabling an organization to know its market better and formulate effective marketing strategies based on the findings of their investigations that includes customer analysis, risk analysis, and the understanding of the competition (Wahyuni, 2012). Effectively, two broad types of market research are available for organizations. In this section, the paper evaluates these ...