week 2 operation management .docx - Qualitative techniques...

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Qualitative techniques are used when data is scarce, for example when a new product is introduced to the market. These techniques use the criterion of the person and certain relationships to transform qualitative information into quantitative estimates. Some are: Executive opinion jury, A group of corporate executives meet, their opinions are averagedto generate the forecast. Composition of the sales force, It combines vendor estimates of expected customer purchases. Delphi method, Used predominantly in the prediction of trends and technological changes. It employs a panel of experts who do not meet but the process is carried out through a sequential series of written questions and answers. Opinion surveys, They allow to identify changes in trends, they are carried out in samplesof the population (Kahn, 2002).A forecast, at the business level, is the prediction of what will happen to a given element within the framework of a given set of conditions. It differs from the budget because the latter is the result of decisions aimed at generating the conditions that will propitiate a desired level of that element. The basic objective of a forecast is to reduce the range of uncertainty within which decisions are made that affect the future of the business and with it all parties involved. Although, the prognosis does not substitute the administrative judgment in the decision making, it simply helps in that process. The forecasts are used inthe process of establishing both long-term and short-term objectives, thus constituting

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Term
Fall
Professor
marycatherinevongarhem
Tags
Management, Marketing, Kahn, knowledge Customer or Customer Insight

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