Demand forecasting

Q:  From your experience, is there a "best" demand forecasting method for individual companies to use?  I have played around with regression and I have not been that successful in coming up with a good forecasting model.

A:  As in the business world, demand is affected by many factors.  With a limited data base at the beginning of the simulation (8 quarters of data) there are not many degrees of freedom for multiple regression analysis, but students may find regression to be about as good as similar models used in the business world.

In the Player's Manual (Chapter 6) we suggest a sales forecasting model that seems to work about as well for students as anything.  You will find the model in the Forecast.xls spreadsheet template located in the Templates folder nested in the BPG Player's Manual folder which is normally installed in the C:\Program Files folder.  Of course you are encouraged to use your creativity to improve upon the model.