CLA Demand Planning & Forecasting

Question 1

Which forecasting method uses the average of a fixed number of most recent periods to predict future demand?

Accepted Answer

Simple moving average

Answer

A simple moving average calculates the mean of the most recent n periods, dropping the oldest data point each time a new period is added.

Question 2

Exponential smoothing forecasting gives more weight to:

Accepted Answer

Recent demand observations compared to older ones

Answer

Exponential smoothing applies a smoothing factor (alpha) that causes recent observations to have exponentially greater influence on the forecast than older data.

Question 3

Mean Absolute Deviation (MAD) measures forecast accuracy by calculating the:

Accepted Answer

Average of absolute differences between actual and forecasted demand

Answer

MAD averages the absolute values of forecast errors over a period, providing a unit-based measure of typical forecast deviation.

Question 4

Which component of a demand time series represents consistent upward or downward movement over time?

Accepted Answer

Trend

Answer

Trend is the long-term directional movement in a data series, distinct from short-term seasonal or cyclical fluctuations.

Question 5

A demand signal from a retail point-of-sale system fed directly to suppliers to trigger replenishment is an example of:

Accepted Answer

Demand-driven replenishment

Answer

Demand-driven replenishment uses actual consumption signals at the point of sale to pull inventory through the supply chain, reducing bullwhip effect.

CLA - Certified Logistics Analyst Practice Test

CLA - Certified Logistics Analyst Practice Test

CLA Demand Planning & Forecasting