Forecasting and estimation techniques

Abstract

It is very common in any project or program that deviations occur on different scales between what is expected and reality. On many occasions, these deviations could have been reduced by statistical analysis of past examples and their respective forecasts. Throughout this article, we will focus on studying the main statistical methods used when making forecasts and how, by using them, organizations could optimize their supply chain or the management of their projects by forecasting the quantity of units or resources that the market or project in question will demand, based on historical data from previous seasons. As an output, the advanced management of the project will be optimized, resources will be assigned to the tasks or processes that really require them, unnecessary costs will be eliminated, and the time used to complete the project will be reduced.