Q1.

What are some of potential benefits of more formalized approach to

forecasting?
Answer:
-

Giving a more systematic approach, making improvement more possible

Avoiding overstock or understock in the inventory, which can improve
operational cost
Remove tension between the managers
Becoming more competitive, by example become faster to the market

Q2. Prepare a weekly forecast for the next four weeks for each product.
For product one we chose Linear Trend method because we observed a plot of
the Data, and the behaviour of the demand for this product was pretty much of a
linear trend, except for the week 7, where we had an unusual demand. We will
show the forecast for Product 1 for the next 4 weeks in the following figure:

And for product 2 we used the naive approach for forecasting the next 4 weeks.
The next 4 weeks they should procure 44 units of product 2, same as the last
data (week 14)