scholarly journals Determining The Optimal Values Of Exponential Smoothing Constants – Does Solver Really Work?

2016 ◽  
Vol 9 (1) ◽  
pp. 1-14 ◽  
Author(s):  
Handanhal V. Ravinder
Keyword(s):  
Operations Management ◽  
Mean Squared Error ◽  
Forecast Error ◽  
Management Science ◽  
Exponential Smoothing ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Squared Error ◽  
Optimal Values ◽  
The Impact

A key issue in exponential smoothing is the choice of the values of the smoothing constants used.  One approach that is becoming increasingly popular in introductory management science and operations management textbooks is the use of Solver, an Excel-based non-linear optimizer, to identify values of the smoothing constants that minimize a measure of forecast error like Mean Absolute Deviation (MAD) or Mean Squared Error (MSE).  We point out some difficulties with this approach and suggest an easy fix. We examine the impact of initial forecasts on the smoothing constants and the idea of optimizing the initial forecast along with the smoothing constants.  We make recommendations on the use of Solver in the context of the teaching of forecasting and suggest that there is a better method than Solver to identify the appropriate smoothing constants.

scholarly journals Determining The Optimal Values Of Exponential Smoothing Constants Does Solver Really Work?

2013 ◽  
Vol 6 (3) ◽  
pp. 347-360 ◽  
Author(s):  
Handanhal V. Ravinder
Keyword(s):  
Operations Management ◽  
Mean Squared Error ◽  
Forecast Error ◽  
Management Science ◽  
Exponential Smoothing ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Squared Error ◽  
Optimal Values ◽  
The Impact

A key issue in exponential smoothing is the choice of the values of the smoothing constants used.One approach that is becoming increasingly popular in introductory management science and operations management textbooks is the use of Solver, an Excel-based non-linear optimizer, to identify values of the smoothing constants that minimize a measure of forecast error like Mean Absolute Deviation (MAD) or Mean Squared Error (MSE).We point out some difficulties with this approach and suggest an easy fix. We examine the impact of initial forecasts on the smoothing constants and the idea of optimizing the initial forecast along with the smoothing constants.We make recommendations on the use of Solver in the context of the teaching of forecasting and suggest that there is a better method than Solver to identify the appropriate smoothing constants.

scholarly journals Applied Exponential Smoothing Holt-Winter Method for Predict Rainfall in Mataram City

2020 ◽  
Vol 1 (2) ◽  
pp. 45
Author(s):  
Dewi Darma Pertiwi
Keyword(s):  
Mean Squared Error ◽  
Secondary Data ◽  
Weather Conditions ◽  
Exponential Smoothing ◽  
Percentage Error ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Data Smoothing ◽  
Squared Error ◽  
The City

Weather conditions in the city of Mataram tend to be erratic and difficult to predict, such as the condition of rainfall data in 2018 which changes over a certain period of time so that the weather is difficult to predict accurately. In this study, we propose the Exponential Smoothing Holt-Winter method to forecast rainfall in the city of Mataram, so that it can be a decision support for various interested sectors. This method has been tested using secondary data from the Mataram City Central Bureau of Statistics for the period January 2014 to 2018 and evaluated using Mean Absolute Deviation (MAD), Mean Squared Error (MSE) and Mean Absolute Percentage Error (MAPE). The results of this study indicate that using the Exponential Smoothing Holt-Winter method yields better results, each of which is MAPE 142.3, MAD 95.6 and MSD value 24988.7 and the data smoothing value is obtained for the smallest combination value of α 0.2, β 0.1, and γ 0.1. It can be concluded that the proposed method can provide better information and can be used to predict rainfall in Mataram City for the next 12 periods.

PERENCANAAN PERSEDIAAN BAHAN BAKU AKAR TANJUNG DENGAN METODE MATERIAL REQUIREMENTS PLANNING (MRP) PADA UPT. MAKARTI POMOSDA

2020 ◽  
Vol 16 (3) ◽  
pp. 1-12
Author(s):  
Khoirul Hidayah ◽  
Sukarni Sukarni ◽  
Achmad Syaichu
Keyword(s):  
Standard Error ◽  
Mean Squared Error ◽  
Moving Average ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Material Requirements Planning ◽  
Safety Stock ◽  
Mean Error ◽  
Squared Error ◽  
Material Requirement

Suatu produksi yang direncanakan dengan baik akan menghasilkan efektivitas dan efisiensi produksi bagi perusahaan. Pentingnya perencanaan material pada perusahaan diharapkan dapat menghasilkan sistem yang baik terhadap proses produksi. Tujuan dari penelitian ini adalah untuk mengetahui penerapan Material Requirement Planning (MRP) sehingga kebutuhan bahan baku selama proses produksi di UPT MAKARTI POMOSDA dapat terpenuhi dengan menggunakan metode peramalan forecasting dalam satu tahun yaitu, moving average dan weighted moving average.  Metode ini terpilih untuk mengetahui safety stock nya produk setiap bulan dan setiap tahun. Berdasarkan detail dan analisa kesalahan metode moving average dengan menggunakan program POM QM forWindows Versi 3 Basic (Mean Error) 42,455, MAD (Mean Absolute Deviation) 259,545, MSE (Mean Squared Error) 118490,6, Standard Error (denom=n-2=9) 380,555, MAPE (Mean Absolute Percent Error) 643, dan next period 480. Sedangkan detail dan analisa kesalahan metode ini dengan menggunakan program POM QM For Windows Versi 3 Basic (Mean Error) 38,827, MAD (Mean Absolute Deviation) 212,257, MSE (Mean Squared Error) 83586,58, Standard Error (denom=n-2=9) 323,239, MAPE (Mean Absolute Percent ) 495, dan next period 464,893. Berdasarkan hasil proses diatas juga diketahui (safety stock) pada UPT MAKARTI POMOSDA pada tahun 2017 yaitu sejumlah 5209 unit, setelah dilakukan penelitian mengalami kenaikan sebesar 6758 dengan prosentase sebesar 129,7%, sehingga tidak ada penumpukan barang digudang. Hal ini juga didukung dengan penurunan biaya simpan bahan baku dari Rp 120.850/Periode (bulan) menjadi Rp 109.350/Periode (bulan).

scholarly journals Penerapan Single Exponential Smoothing (SES) dalam Perhitungan Jumlah Permintaan Air Mineral Pada PT. Akasha Wira International

2020 ◽  
Vol 3 (2) ◽  
pp. 87
Author(s):  
Lolyka Dewi Indrasari
Keyword(s):  
Mineral Water ◽  
Forecast Error ◽  
Exponential Smoothing ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Forecasting Error ◽  
Data Value ◽  
Forecast Data ◽  
Projection Error ◽  
Single Exponential

Daily needs that are priceless but useful for health one of which is mineral water. The need for mineral water increases with the high demand in the market. The purpose of this study was to determine the forecasting of the number of requests for 330 ml shortneck mineral water products in the future using the Single Exponential Smoothing (SES) method. Limitation of the problem is discussing the number of requests in the first half of 2020, the data used were obtained from PT. Akasha Wira International from January 2014 to December 2019. The analytical method is to calculate the forecast error value of the different 𝛼 values to find one value that produces the smallest error with the calculation method Mean Absolute Deviation (MAD) and Single Exponential Smoothing (SES) can interpreted based on the calculation stage where the forecast data value in the period 𝑡 + 1 is the actual value in the period t plus the adjustment derived from forecasting error that occurred in the period t. The results obtained on the value of Mean Absolute Deviation (MAD) are taken at a = 0.9 because it produces the smallest value of the projected data projection error of 1860 units. Whereas in forecasting requests using Single Exponential Smoothing (SES), 330 ml shortneck mineral water in the first half of 2020 amounted to 2177634 units. Keyword : Mean Absolute Deviation, Single Exponential Smoothing, shortneck.Kebutuhan sehari – hari yang tidak ternilai harganya tapi berguna bagi kesehatan salah satunya adalah air mineral. Kebutuhan air mineral meningkat seiring dengan tingginya permintaan pada pasar. Tujuan penelitian ini, yaitu untuk mengetahui peramalan jumlah permintaan pada produk air mineral 330 ml shortneck dimasa mendatang menggunakan metode Single Exponential Smoothing (SES). Batasan masalah yaitu membahas jumlah permintaan dimasa mendatang semester I 2020, data yang digunakan diperoleh dari PT. Akasha Wira International pada Januari 2014 sampai dengan Desember 2019. Metode analisis yaitu Menghitung nilai kesalahan peramalan terhadap nilai 𝛼 yang berbeda beda untuk menemukan satu nilai 𝛼 yang menghasilkan kesalahan terkecil dengan metode perhitungan Mean Absolute Deviation (MAD) dan Single Exponential Smoothing (SES) dapat diartikan berdasarkan tahapan perhitungannya dimana nilai data ramalan pada periode 𝑡 + 1 merupakan nilai actual pada periode t ditambah dengan penyesuaian yang berasal dari kesalahan nilai peramalan yang terjadi pada periode t. Didapatkan hasil pada nilai Mean Absolute Deviation (MAD) diambil pada a = 0,9 karena menghasilkan nilai kesalahan proyeksi data pemrintaan paling kecil yaitu 1860 unit. Sedangkan pada peramalan permintaan menggunakan Single Exponential Smoothing (SES), air mineral 330 ml shortneck pada semester I tahun 2020 sebesar 2177634 unit.  Kata Kunci: Mean Absolute Deviation, Single Exponential Smoothing, shortneck 

scholarly journals Aplikasi Triple Exponential Smoothing Untuk Forecasting Jumlah Penduduk Miskin

2020 ◽  
Vol 3 (2) ◽  
pp. 76-82
Author(s):  
Padrul Jana
Keyword(s):  
Poverty Reduction ◽  
Mean Squared Error ◽  
Exponential Smoothing ◽  
Mean Absolute Percentage Error ◽  
Percentage Error ◽  
Poor People ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Absolute Percentage Error ◽  
The Government

This study aims to predict the number of poor in Indonesia for the next few years using a triple exponential smoothing method.The purpose of this research is the result of the forecast number of poor people in Indonesia accurate forecast results are used as an alternative data the government for consideration of government to determine the direction of national poverty reduction policies. This research includes the study of literature research, by applying the theory of forecasting to generate predictions of poor people for coming year. Furthermore, analyzing the mistakes of the methods used in terms of the count: Mean Absolute Deviation (MAD), Mean Square Error (MSE), Mean absolute percentage error (MAPE) and Mean Percentage Error (MPE). The function of this error analysis is to measure the accuracy of forecasting results that have been conducted.These results indicate that the number of poor people in 2017 amounted to 24,741,871 inhabitants, in 2018 amounted to 24,702,928 inhabitants, in 2019 amounted to 24,638,022 inhabitants and in 2020 amounted to 24,547,155 people. The forecasting results show an average reduction in the number of poor people in Indonesia last five years (2016-2020 years) ranges from 0.16 million. Analysis forecasting model obtained an mean absolute deviation (MAD) obtained by 0.246047. Mean squared error (MSE) of forecasting results with the original data by 1.693277. Mean absolute percentage error (MAPE) of 3.040307% and the final Mean percentage error (MPE) of 0.888134%.Kata Kunci: Forecasting, Triple Exponential Smoothing

scholarly journals ARDL METHOD: Forecasting Data Curah Hujan Harian NTB

Jurnal Varian ◽  
2020 ◽  
Vol 3 (2) ◽  
pp. 73-82
Author(s):  
Ulul Azmi ◽  
Zilullah Nazir Hadi ◽  
Siti Soraya
Keyword(s):  
Mean Squared Error ◽  
Percentage Error ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Root Mean Squared Error ◽  
Absolute Percentage Error ◽  
Distributed Lag ◽  
Autoregressive Distributed Lag ◽  
Squared Error ◽  
Parameter Error

Penelitian ini berisi tentang prediksi atau forecasting data iklim di Nusa Tenggara Barat (NTB) tahun 2011, yakni jumlah hari terjadinya hujan dengan menggunakan metode Autoregressive Distributed Lag (ARDL). Data yang digunakan yaitu data iklim di Nusa Tenggara Barat (NTB) dari tahun 2006 -2010, dengan menggunakan beberapa parameter error seperti Mean Absolute Deviation (MAD), Mean Squared Error (MSE), Root Mean Squared Error (RMSE) dan Mean Absolute Percentage Error (MAPE). Berdasarkan hasil simulasi data iklim di Nusa Tenggara Barat (NTB) tersebut, diperoleh prediksi jumlah hari terjadinya curah hujan pada tahun 2011 sebesar 226 hari dengan nilai MAD 20,8069, MSE 3,5569, RMSE 1,88597, dan MAPE 11,9297 . Dan prediksi jumlah hari terjadinya hujan pada tahun 2011 sebanyak 225,928 hari atau jika di bulatkan menjadi 226 hari dengan nilai parameter error MAD sebesar 20,8069, sehingga dapat disimpulkan pada tahun 2011 terjadi peningkatan jumlah hari terjadinya hujan di Nusa Tenggara Barat (NTB).

scholarly journals PREDIKSI JUMLAH PENERIMAAN SISWA SMK SWASTA TAHUN AJARAN 2011/2012

2012 ◽  
Vol 3 (2) ◽  
pp. 923
Author(s):  
Haryadi Sarjono
Keyword(s):  
Mean Squared Error ◽  
Moving Average ◽  
Exponential Smoothing ◽  
Vocational High School ◽  
Absolute Deviation ◽  
Squared Error ◽  
Forecasting Methods ◽  
Naive Method ◽  
Manual Calculation ◽  
Weighted Moving Average

This study aims to determine prediction number of modern private Vocational High School (SMK) students in a province in Borneo with the approach of six forecasting methods: Linear Regression, Exponential Smoothing with Trend, Exponential Smoothing, Weighted Moving Average, Moving Average, and the Naive Method, besides using Manual calculation, the approach of QM for windows is used as a comparison. The result will be determined by the six forecasting methods which is used as a proper basis for the next calculating based on the smallest MAD (Mean Absolute Deviation) and MSE (Mean Squared Error) approach. The data in this study were made by the writer alone. 

scholarly journals Stock Market Prediction Performance of Neural Networks: A Literature Review

2017 ◽  
Vol 9 (11) ◽  
pp. 100 ◽  
Author(s):  
Özgür Ican ◽  
Taha Bugra Çelik
Keyword(s):  
Neural Networks ◽  
Prediction Model ◽  
Mean Squared Error ◽  
Forecast Error ◽  
Absolute Error ◽  
Absolute Deviation ◽  
Error Measures ◽  
Squared Error ◽  
Number Of Publications

In this paper, previous studies featuring an artificial neural networks based prediction model have been reviewed. The main purpose of this review is to examine studies which use directional prediction accuracy (also known as hit ratio) or profitability of the model as a benchmark since other forecast error measures - namely mean absolute deviation (MAD), root mean squared error (RMSE), mean absolute error (MAE) and mean squared error (MSE) - have been criticized for the argument that they are not able to actually show how useful the prediction model is, in terms of financial gains (i.e. for practical usage). In order to meet the publication selection criteria mentioned above, a large number of publications have been examined and 25 of papers satisfying the criteria are selected for comparison. Classification of the eligible papers are summarized in a table format for future studies.

scholarly journals Estimating modulus of elasticity (MOE) of particleboards using artificial neural networks to reduce quality measurements and costs

2019 ◽  
Vol 70 (3) ◽  
pp. 257-263
Author(s):  
Rıfat Kurt ◽  
Selman Karayilmazlar
Keyword(s):  
Mechanical Properties ◽  
Neural Networks ◽  
Artificial Neural Networks ◽  
Modulus Of Elasticity ◽  
Mean Squared Error ◽  
Percentage Error ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Squared Error ◽  
Artificial Neural

There are a large number of costs that enterprises need to bear in order to produce the same product at the same quality for a more affordable price. For this reason, enterprises have to minimize their expenses through a couple of measures in order to offer the same product for a lower price by minimizing these costs. Today, quality control and measurements constitute one of the major cost items of enterprises. In this study, the modulus of elasticity values of particleboards were estimated by using Artificial Neural Networks (ANN) and other mechanical properties of particleboards in order to reduce the measurement costs in particleboard enterprises. In addition to that, the future values of modulus of elasticity were also estimated using the same variables with the purpose of monitoring the state of the process. For this purpose, data regarding the mechanical properties of the boards were randomly collected from the enterprise for three months. The sample size (n) was: 6 and the number of samples (m): 65 and a total of 65 average measurement values were obtained for each mechanical property. As a result of the implementation, the low Mean Absolute Percentage Error (MAPE), Mean Absolute Deviation (MAD) and Mean Squared Error (MSE) performance measures of the model clearly showed that some quality characteristics could easily be estimated by the enterprises without having to make any measurements by ANN.

scholarly journals Previsão dos modelos univariados e rede neural da demanda turística do estado de Mato Grosso do Sul

2020 ◽  
Vol 19 (3) ◽  
Author(s):  
Bruno Matos Porto ◽  
Daniela Althoff Philippi ◽  
Vanessa Aline Wagner Leite
Keyword(s):  
Mean Squared Error ◽  
Percentage Error ◽  
Mean Absolute Deviation ◽  
Absolute Deviation ◽  
Mato Grosso ◽  
Absolute Percentage Error ◽  
Squared Error ◽  
Mato Grosso Do Sul

O objetivo deste artigo foi gerar previsões de curto, médio e longo prazos e comparar a precisão dos modelos em cada horizonte de previsão. Para atender o objetivo foram aplicados os modelos univariados e rede neural (NNAR) nos dados da demanda turística do estado de Mato Grosso do Sul (MS). A amostra foi coletada na ferramenta base de dados extrator do Instituto Brasileiro de Turismo (Embratur) referente as chegadas turísticas por todas as vias registradas no MS entre janeiro de 2007 a dezembro de 2017. As previsões dos modelos de previsão ARIMA, Holt-Winters (HW) versões aditiva e multiplicativa e NNAR foram projetadas, por meio da linguagem de programação R, com uso do software R Studio. O procedimento empírico de execução dos scripts de todos os modelos foi disponibilizado. As predições fora da amostra da procura do turismo abrangeram o intervalo de janeiro até dezembro de 2018, sendo então comparadas aos dados reais do mesmo período. As previsões dos modelos foram comparadas no curto, médio e longo prazo mediante os critérios Mea Absolute Percentage Error (MAPE), Mean Absolute Deviation (MAD) e Mean Squared Error (MSD). A rede neural (NNAR) superou os modelos testados em diferentes horizontes de previsão e as medidas de erros mostraram que a NNAR é altamente precisa. Em segundo lugar no ranking de acuracidade destacou-se ARIMA. Os resultados mostraram que as previsões da rede neural auxiliam na tomada de decisão dos planejadores turísticos de MS. Para pesquisas futuras recomenda-se realizar previsões fora da amostra num amplo número de séries temporais.

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