1. The healthcare environment would be advised to use the MAD, MSE, and the MAPE as measures of forecasting accuracy. Describe how these techniques could aid managers in the projections of cost and assist in inventory control.
2. Summarize the factors involved with seasonal variations. Provide examples.
3. An essential part of cost control in any healthcare organization is staffing levels, maintaining the right mix of professional individuals at any given time. Inventory and production control models are designed for static environments. Would such models work in healthcare to adjust for staffing needs? Explain your rationale.
4. Our basis EOQ inventory model makes five assumptions. For each of these assumptions, explain the assumption, give an example of when the assumption is false, and describe what options are available when the assumption is false.