Inventory Management by Moving Average Forecasting and EOQ: AAA Co., Ltd.

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Sawatgamon Seksunviriya
Pruttipong Apivatanagul
Chairat Mekkaew

Abstract

The purpose of this research is to study the number of production orders that are economically feasible and to study the consumer demands forecasting model. In this research data on the amount of AAA Company Limited distributions will be used between January 2021 to March 2022. The data will provide the lowest static error as a selection criterion with MAPE (Mean Absolute Percentage Error) obtained from the forecasting of Two techniques. It consists of three components: Simple Moving Average, Weighted Moving Average, and Economic Order Quantity. The study discovered that the median of the data has a low error and closely approximates product sales. The data during January to March 2022 could be used to find economic quantities with appropriate order quantity of 3,600 box per time with consumer demand forecasting an average of 2,895 boxes.

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Research Articles

References

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