Analysis of smoothing techniques: application to production‐inventory systems

Abstract

Purpose

To provide an overview of how a number of frequently used smoothing‐based forecasting techniques can be modelled for use in dynamic analysis of production‐inventory systems.

Design/methodology/approach

The smoothing techniques are modelled using transfer functions and state space representation. Basic control theory is used for analysing the dynamic properties.

Findings

A set of expressions are derived for the smoothing techniques and dynamic properties are identified.

Practical implications

Dynamic properties are important in many applications. It is shown that the different smoothing techniques can have very different influences on the dynamic behaviour and therefore should be considered as a factor when smoothing parameters are decided on.

Originality/value

Dynamic behaviour of production‐inventory systems can be analysed using control theory based on, e.g. transfer functions or state space models. In this paper a set of models for five common smoothing techniques are analysed and their respective dynamic properties are highlighted.

Citation

Wikner, J. (2006), "Analysis of smoothing techniques: application to production‐inventory systems", Kybernetes, Vol. 35 No. 9, pp. 1323-1347. https://doi.org/10.1108/03684920610662647