D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

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Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

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Scenario You have been given a task to create a demand forecast for the second year of sales of a premium outdoor grill. Accurate forecasts are important for many reasons, including for the company to ensure they have the materials they need to create the products required in a certain period of time. Your objective is to minimize the forecast error, which will be measured using the Mean Absolute Percentage Error (MAPE) with a goal of being below 25%. You have historical monthly sales data for the past year and access to software that provides forecasts based on five different forecasting techniques (Naïve, 3-Month Moving Average, Exponential Smoothing for .2, Exponential Smooth for .5, and Seasonal) to help determine the best forecast for that particular month. Based on the given data, you will identify trends and patterns to create a more accurate forecast. Approach Consider the previous month's forecast to identify which technique is most effective. Use that to forecast the next…

Approach Consider the previous month's forecast to identify which technique is most effective. Use that to forecast the next month. Remember to select the forecasting technique that produces the forecast error nearest to zero. For example: a. Naïve Forecast is 230 and the Forecast Error is -15. b. 3-Month Moving Forecast is 290 and the Forecast Error is -75. c. Exponential Smoothing Forecast for .2 is 308 and the Forecast Error is -93. d. Exponential Smoothing Forecast for .5 is 279 and the Forecast Error is -64. e. Seasonal Forecast is 297 and the Forecast Error is -82. The forecast for the next month would be 230 as the Naïve Forecast had the Forecast Error closest to zero with a -15. This forecasting technique was the best performing technique for that month. You do not need to do any external analysis-the forecast error for each strategy is already calculated for you in the tables below. Naïve Month Period Actual Demand Naïve Forecast Error 3- Month Moving Forecast 3- Month Moving…

Scenario You have been given a task to create a demand forecast for the second year of sales of a premium outdoor grill. Accurate forecasts are important for many reasons, including for the company to ensure they have the materials they need to create the products required in a certain period of time. Your objective is to minimize the forecast error, which will be measured using the Mean Absolute Percentage Error (MAPE) with a goal of being below 25%. You have historical monthly sales data for the past year and access to software that provides forecasts based on five different forecasting techniques (Naïve, 3-Month Moving Average, Exponential Smoothing for .2, Exponential Smooth for .5, and Seasonal) to help determine the best forecast for that particular month. Based on the given data, you will identify trends and patterns to create a more accurate forecast. Approach Consider the previous month's forecast to identify which technique is most effective. Use that to forecast the next…

Answer 2

Question

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

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Answer 3

Question

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

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Answer 4

Question

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

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Answer 5

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

Answer 6

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

Answer 7

Chapter 4, Problem 10P

a)

Summary Introduction

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

Answer 8

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

Answer 9

b)

Summary Introduction

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

Answer 10

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Answer 11

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Answer 12

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Answer 13

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D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

Solution Summary: The author explains that customer complaints are justified since the network reliability is 72.90% and not 90%.

Concept explainers

To determine: D promises customers that its network has a 90% reliability. Calculate the reliability of the network. Are customer complaints justified?

To determine: D is considering adding nodes to its network structure so that each of the current nodes is “backed up” by a lesser node with 80% reliability. What is the reliability of the new network?

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