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Dear Collegues, im interesting about SD especially about Inventory Management System in inventory management system, there is exogenouse item cannot be modelled exactly. Ex: for forecast (expected order rate) based on first order exponential smoothing. This method cannot be explained exactly. How i can validate the forecast model (based on historical demand)? In traditional inventory management system, avaiable MSE (mean square error) and MAD (meas absolute deviation) can be used for chose the best method of forecasting. In Powersim, Forecast function can be used, but only based on first order exponential. I need your help, please.
Management Science
Jay W Forrester
Thank you very much Tony Gunawan tonycute@yahoo.com.