exponential smoothing

Precise stochastic demand calculation is the key to successful material planning, i. e. to always have exactly the right quantity on hand. However, decision-makers are faced with the dilemma of which of the many forecasting methods they should use, adapted to the item properties as much as possible. This paper examines the optimization potential of a self-developed automatically optimizing forecasting approach based on ten common forecasting methods, which are evaluated using two case studies from the capital goods industry.