Wilkins.A Zurn company about DEMAN FORECASTING Case Study

Wilkins.A Zurn company about DEMAN FORECASTING - Case Study Example the cyclical nature of US commercial and industrial construction market that affect the revenues generated, the company has experienced sales growth that exceeds the industry. Their positive growth is due to their favorable pricing strategies, product innovations and targeted marketing programs. The current demand forecasting process of the company includes a forecast master and a planning bill. The forecast master is a spreadsheet that lists the average weekly sales history for each product family by quarter and year since 1999. For each product family, the total quarter’s actual sales are divided by 13 weeks per quarter to determine the average weekly sales per quarter. The expected demand for the next five or six quarters is then estimated for the quarters. Each product family had its own planning bill. It contains the sales history for each product within the family. It calculates the average number of units sold within that product family each day within each quarter. It also contains projection on the average daily sales for that family that will sell in the next 12 months. Furthermore, the planning bill disaggregates the family forecast into each product based on the per cent of sales of the product family. Lastly, the planning bill calculates the annual sales forecast for each product within the family. The current forecasting performance utilized by the company is inaccurate. According to sales records, there are variances in the forecasted sales value with respect to the actual sales of the company. This paper will center on the utilization of statistical forecasting methods in order to improve the performance of the business. The current method of forecasting that is utilized by the company does not take into account the seasonality of the sales generated. The forecast is based on the forecast master and the planning bill of each product family. The method of using two forecasting tools to estimate future demand is applicable to the

Discuss the most common challenges faced by management in an Essay

Discuss the most common challenges faced by management in an international context - Essay Example Besides the common challenges the management faces, globalization and the rise of multinational organizations have created challenges from communicational dimensions. In this essay, four main communication barriers will be discussed; they are cultural barriers, distance barriers, trust barrier (inner barrier), and the language barrier. In the process of international management, cultural understanding is a crucial factor to create opportunities for economic growth and development. To create cultural understanding, the manager is challenged with the task of learning and comprehending other cultures and contexts. This serves to reduce as much cultural difference as possible, and avoid communication breakdowns wherever the company or organization may encounter it. For example, while Arabs treat their leaders as heroes and worship them as long as they remain in power, Iranians expect their leaders to exhibit power and strength. (Phatak, 2005, p.5) Most common cultural differences are broadly categorized based on the following factors- power distance, uncertainty avoidance, human orientation, collectivism, assertiveness, gender egalitarianism, future orientation, and performance orientation. (Phatak, 2005, p.5) It is the management’s responsibility to analyze other cultures and minimize any cultural problems to maximize efficiency. This results in better business expansion, improved production and better image for the company. A manager who has a better understanding of the various cultural factors will be able to adopt appropriate management techniques and procedures that adapt to differing cultural values and beliefs. For this to occur, it is important that the manager accurately analyses the situation and acts accordingly or it may lead to a sharp decline in efficiencies. In leadership at every level possible, the most important factor is ‘trust’. Without trust in