Production, Purchasing, and Marketing Managers Quiz

What is the primary objective of forecasting?

To reduce the risk or uncertainty in decision-making

Who makes use of the forecast as a tool for long-range planning?

Top management

What is included in the variables that are helpful in the firm's operations?

Future sales, revenues, earnings, costs, and other possible variables

What does forecasting help management do before planning and implementation?

Reduce the risk or uncertainty in decision-making Signup and view all the answers

What is the main purpose of a Production Manager's use of forecasts?

To determine the amount of raw materials needed in production and other production-related activities Signup and view all the answers

Which forecasting approach incorporates factors such as intuition, emotion, and personal experiences?

Expert Opinions Signup and view all the answers

What is the Delphi Method primarily useful for?

Long-range forecasting Signup and view all the answers

What is the main advantage of Consumer Market Surveys?

Determining consumer behavior Signup and view all the answers

What does the PERT-derived Forecast require the expert to provide?

Three estimates: pessimistic, most likely, and optimistic Signup and view all the answers

Which forecasting approach relies on historical data and/or causal variables to forecast demand?

Time Series Forecasting Signup and view all the answers

What is the primary responsibility of a Purchasing Manager according to the text?

Purchase the amount of materials needed for production Signup and view all the answers

Which approach to forecasting is useful for formulating short-term forecasts and incorporates factors like intuition?

Expert Opinions Signup and view all the answers

What does the Program Evaluation and Review Technique (PERT) methodology require the expert to provide?

Pessimistic, most likely, and optimistic estimates Signup and view all the answers

Which department utilizes forecasts to estimate how much sales should be made for the products?

Marketing Manager Signup and view all the answers

What is the main focus of a Finance Manager's use of forecasts?

To anticipate the funding needed by the firm Signup and view all the answers

What is one purpose of Sales Force Polling according to the text?

To estimate sales in different regions through individual salesperson estimates Signup and view all the answers