日本語 English 中文

MRP glossary TOP > Demand Forecast > Error in Forecast

Error in Forecast

Error in Forecast

A forecast is made based on assumption and uncertain elements. Thus the difference between forecast value and actual value, that is, an error in forecast almost always occurs. The error in forecast is usually normally distributed, and the distribution degree is generally expressed by Mean Absolute Deviation (MAD).


Related term:MAD

Reference:JIT Business Research Mr. Hirano Hiroyuki

Dependent Demand Item | Demand Forecast | Exponential Smoothing Method