Excel worksheet preference for this case study. In this Case Wilkins, A Zurn Company: Demand Forecasting, Wilkins competes in a seasonal commodity market with the peak demand happening in the fiscal third quarter, April through June. With an anticipated high growth rate and with high demand volatility at the product level, Wilkins is challenged to produce an useful and accurate demand forecast. Different factors may affect the demand in a growing market. Controllable factors are new product development and innovations, marketing effectiveness, promotions and prices. Uncontrollable factors are the weather, macroeconomic change, new market entrants, and the competition's marketing campaign, such as promotions and prices.
Answer the following questions after evaluation:
1. How accurate was the demand forecast for 2005 first quarter?
2. What is the current demand forecasting method? Who uses the demand forecast? What are the consequences, if any, if the forecast is inaccurate?
3. Create a demand forecast for the PVB product family for the next three quarters. How does your demand forecast compare to Wilkins' demand forecast?
4. As Bernie Barge, what would you recommend to management and why? How should Barge convince management to follow his recommendations? Develop an action plan.