Forecasting Salt Production Demand
In this project, I've done the production forecasting for the salt for the years 2019 & 2020 by using production data from 2000 to 2018 in India on Excel. 3 methods of forecasting i.e. 1) Simple Moving Average 2) Simple Exponential Smoothning & 3) Holt's Method are compared on accuracy using Mean Absolute Deviation(MAD) & Mean Absolute Percentage Error(MAPE).
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MAD measures the error by adding the absolute values of the individual forecast errors & dividing by the number of periods of data.
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Whereas MAPE is the average of the absolute difference between the forecasted and actual values, expressed as a percentage of the actual values.
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This two measures are used to compares the accuracy for forecasting techniques & most accurate one is chosed to find forecast for the year 2019 & 2020