Business Analysis

Business Analysis | Section 036 Week 4 Assignment Help | Georgia State University 

Module 4: Planning your Business: Creating a Seasonal Index and adding Seasonality to a Forecast Webex Activity: Creating a Seasonal Index

Webex: Creating a Seasonal Index and adding Seasonality to a Forecast

In this week's Webex Exercise, we will continue to work on our Excel skills by adding a seasonality to a forecast. This method is good when the historical data has a repeating pattern.

You will run regression again for the Excel activity. You will combine this with creating a seasonal Index and then re-seasonlizing your forecast.

The module 4 Excel exercise goes though the four steps of classical decomposition. This includes:

1.      Developing the seasonal index: Seasonal index = actual/de-seasonalized demand

2.      Taking seasonality out of our data: De-seasonalized Demand = Actual / Seasonal Index

3.      Run regression using the De-seasonalized demand. This will create and equation representing the underlying trend (like Exercise 5). Based on the regression equation, you will create a forecast just with trend.

4.      Re-seasonalizing the forecast. Seasonalized forecast from Step 3 * Seasonal Index from Step 1

You may find it useful to refer back to the example videos about Creating a Forecast using both Trend and Seasonality provided in the Module 4 CSePub content opens in new windowas you work with your instructor to complete the Module 4 Webex Excel Activity.

Excel Activity for Module 4: Seasonality

To help you complete this activity, there is a pre-made Excel Spreadsheet attached below the video on the page in CSePub. I recommend that you open this sheet as you watch the video to prepare for our meeting.