ONE YIELD v2 Certification – Operations
Management & Forecasting Concepts –
Comprehensive Practice Questions and
Answers
Introduction:
This document contains an extensive collection of practice
questions with correct answers covering forecasting, demand
planning, statistical process control, and lean production
concepts as part of the ONE YIELD v2 Certification. It includes
calculations, multiple-choice questions, and true/false
statements focused on MAD, tracking signals, exponential
smoothing, regression, kanban systems, and lean supply chain
principles.
The material is well suited for exam preparation, revision, and
reinforcing key operations management theories and
quantitative techniques.
Exam Questions and Answers:
,Which of the following forecasting methods can be used for
short-term forecasting? - -Answer:-simple exponential
smoothing
The exponential smoothing method requires which of the
following data to forecast the future? - -Answer:-the most
recent forecast
If a firm produced a standard item with relatively stable
demand, the smoothing constant alpha (reaction rate to
differences) used in an exponential smoothing forecasting
model would tend to be in which of the following ranges? - -
Answer:-5 % to 10 %
If a firm produced a product that was experiencing growth in
demand, the smoothing constant alpha (reaction rate to
differences) used in an exponential smoothing forecasting
model would tend to be which of the following? - -Answer:-The
more rapid the growth, the higher the percentage
A company has had actual unit demand for four consecutive
years of 100, 110, 125, and 150. The respective forecasts using
exponential smoothing were 120 for each of those four years.
,What value of alpha, the smoothing constant, was the firm
using? - -Answer:-0 (zero)
If the forecast deviates from the actual but the forecast for the
next year does not change then the value of alpha must be
zero.
Which of the following forecasting methodologies is
considered a causal forecasting technique? - -Answer:-linear
regression
Which of the following forecasting methodologies is
considered a qualitative forecasting technique? - -Answer:-
Market research
Which of the following forecasting methods uses executive
judgment as its primary component for forecasting? - -
Answer:-Panel consensus
Which of the following forecasting methods is very dependent
on selection of the right individuals who will judgmentally be
used to actually generate the forecast? - -Answer:-weighted
moving average
, In business forecasting, what is usually considered a long-term
time period? - -Answer:-Two years or longer
How long is the planning horizon for forecasting done at the
S&OP level (minimum)? - -Answer:-12 rolling months
In general, which forecasting time frame is best to detect
general trends? - -Answer:-long-range forecasts
Which of the following considerations is not a factor in
deciding which forecasting model a firm should choose? - -
Answer:-Product
A company wants to forecast demand using the simple moving
average. If the company uses four prior yearly sales values
(i.e., year 2013 = 100, year 2014 = 120, year 2015 = 140, and
year 2016 = 210), which of the following is the simple moving
average forecast for year 2017? - -Answer:-142.5
A company wants to forecast demand using the weighted
moving average. If the company uses two prior yearly sales
values (i.e., year 2012 = 110 and year 2013 = 130), and we
want to weight year 2015 at 10% and year 2016 at 90%, which
Management & Forecasting Concepts –
Comprehensive Practice Questions and
Answers
Introduction:
This document contains an extensive collection of practice
questions with correct answers covering forecasting, demand
planning, statistical process control, and lean production
concepts as part of the ONE YIELD v2 Certification. It includes
calculations, multiple-choice questions, and true/false
statements focused on MAD, tracking signals, exponential
smoothing, regression, kanban systems, and lean supply chain
principles.
The material is well suited for exam preparation, revision, and
reinforcing key operations management theories and
quantitative techniques.
Exam Questions and Answers:
,Which of the following forecasting methods can be used for
short-term forecasting? - -Answer:-simple exponential
smoothing
The exponential smoothing method requires which of the
following data to forecast the future? - -Answer:-the most
recent forecast
If a firm produced a standard item with relatively stable
demand, the smoothing constant alpha (reaction rate to
differences) used in an exponential smoothing forecasting
model would tend to be in which of the following ranges? - -
Answer:-5 % to 10 %
If a firm produced a product that was experiencing growth in
demand, the smoothing constant alpha (reaction rate to
differences) used in an exponential smoothing forecasting
model would tend to be which of the following? - -Answer:-The
more rapid the growth, the higher the percentage
A company has had actual unit demand for four consecutive
years of 100, 110, 125, and 150. The respective forecasts using
exponential smoothing were 120 for each of those four years.
,What value of alpha, the smoothing constant, was the firm
using? - -Answer:-0 (zero)
If the forecast deviates from the actual but the forecast for the
next year does not change then the value of alpha must be
zero.
Which of the following forecasting methodologies is
considered a causal forecasting technique? - -Answer:-linear
regression
Which of the following forecasting methodologies is
considered a qualitative forecasting technique? - -Answer:-
Market research
Which of the following forecasting methods uses executive
judgment as its primary component for forecasting? - -
Answer:-Panel consensus
Which of the following forecasting methods is very dependent
on selection of the right individuals who will judgmentally be
used to actually generate the forecast? - -Answer:-weighted
moving average
, In business forecasting, what is usually considered a long-term
time period? - -Answer:-Two years or longer
How long is the planning horizon for forecasting done at the
S&OP level (minimum)? - -Answer:-12 rolling months
In general, which forecasting time frame is best to detect
general trends? - -Answer:-long-range forecasts
Which of the following considerations is not a factor in
deciding which forecasting model a firm should choose? - -
Answer:-Product
A company wants to forecast demand using the simple moving
average. If the company uses four prior yearly sales values
(i.e., year 2013 = 100, year 2014 = 120, year 2015 = 140, and
year 2016 = 210), which of the following is the simple moving
average forecast for year 2017? - -Answer:-142.5
A company wants to forecast demand using the weighted
moving average. If the company uses two prior yearly sales
values (i.e., year 2012 = 110 and year 2013 = 130), and we
want to weight year 2015 at 10% and year 2016 at 90%, which
