{"id":103579,"date":"2021-01-22T14:57:20","date_gmt":"2021-01-22T09:27:20","guid":{"rendered":"https:\/\/www.vskills.in\/certification\/tutorial\/?page_id=103579"},"modified":"2024-04-12T14:27:27","modified_gmt":"2024-04-12T08:57:27","slug":"weighted-moving-average-3","status":"publish","type":"page","link":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/","title":{"rendered":"Weighted Moving Average"},"content":{"rendered":"\n<p>Equal weights are assigned to all periods in the computation of simple moving average. The weighted moving average assigns more weight to some demand values (usually more recent ones) the Table 2.1 Shows the computation for three months weighted moving average with a weight of 0, 5 assigned to the most recent demand value, a weight of 0, 3 assigned to the next most recent value and a weight of 0, 2 assigned to the oldest of the demand value included in the average<\/p>\n\n\n\n<p>Table 2.1&nbsp;&nbsp; Three months weighted moving average<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><td><strong>Time<\/strong><\/td><td><strong>Months (t)<\/strong><\/td><td><strong>Demand (Dt)<\/strong><\/td><td><strong>Moving average<\/strong> &nbsp; <strong>Forecast (Mt)<\/strong><\/td><\/tr><\/thead><tbody><tr><td>1<\/td><td>120<\/td><td>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &#8211;<\/td><td>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &#8211;<\/td><\/tr><tr><td>2<\/td><td>130<\/td><td>118<\/td><td>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &#8211;<\/td><\/tr><tr><td>3<\/td><td>110<\/td><td>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &#8211;<\/td><td>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &#8211;<\/td><\/tr><tr><td>4<\/td><td>140<\/td><td>129<\/td><td>1<\/td><\/tr><tr><td>5<\/td><td>110<\/td><td>119<\/td><td>1<\/td><\/tr><tr><td>6<\/td><td>130<\/td><td>126<\/td><td>9<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Weighted MA3 = 0, 2 * 120 + 0, 3 * 130+o, 5*110 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=110<\/p>\n\n\n\n<p>0, 2+0, 3+0, 5<\/p>\n\n\n\n<p>Weight MAi =&nbsp;&nbsp; $WtDt<\/p>\n\n\n\n<p>$Wt<\/p>\n\n\n\n<p>Where I =1, 2, 3 if we use these periods moving average, i=3 corresponds to the most recent times period and i=1 correspond to oldest time period Wt=Weight for the time period t In the example, Wi=0, 2 W2=0, 3 and so on<\/p>\n\n\n\n<p>An advantage of this model is that it allows you to compensate for some trend in seasonality. If you want to, you can weight recent months more heavily and still dampen somewhat the effect of noise by placing small weightings on older demands. Of course the modeler or manager still has to choose the coefficients and this choice is critical to model success or failure.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Equal weights are assigned to all periods in the computation of simple moving average. The weighted moving average assigns more weight to some demand values (usually more recent ones) the Table 2.1 Shows the computation for three months weighted moving average with a weight of 0, 5 assigned to the most recent demand value, a&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-103579","page","type-page","status-publish","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Weighted Moving Average - Tutorial<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Weighted Moving Average - Tutorial\" \/>\n<meta property=\"og:description\" content=\"Equal weights are assigned to all periods in the computation of simple moving average. The weighted moving average assigns more weight to some demand values (usually more recent ones) the Table 2.1 Shows the computation for three months weighted moving average with a weight of 0, 5 assigned to the most recent demand value, a...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/\" \/>\n<meta property=\"og:site_name\" content=\"Tutorial\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/vskills.in\/\" \/>\n<meta property=\"article:modified_time\" content=\"2024-04-12T08:57:27+00:00\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/\",\"url\":\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/\",\"name\":\"Weighted Moving Average - Tutorial\",\"isPartOf\":{\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#website\"},\"datePublished\":\"2021-01-22T09:27:20+00:00\",\"dateModified\":\"2024-04-12T08:57:27+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.vskills.in\/certification\/tutorial\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Weighted Moving Average\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#website\",\"url\":\"https:\/\/www.vskills.in\/certification\/tutorial\/\",\"name\":\"Tutorial\",\"description\":\"Vskills - A initiative in elearning and certification\",\"publisher\":{\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.vskills.in\/certification\/tutorial\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#organization\",\"name\":\"Vskills\",\"url\":\"https:\/\/www.vskills.in\/certification\/tutorial\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2017\/07\/vskills-min-logo.jpg\",\"contentUrl\":\"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2017\/07\/vskills-min-logo.jpg\",\"width\":73,\"height\":55,\"caption\":\"Vskills\"},\"image\":{\"@id\":\"https:\/\/www.vskills.in\/certification\/tutorial\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/vskills.in\/\",\"https:\/\/x.com\/vskills_in\",\"https:\/\/www.linkedin.com\/company-beta\/1371554\/\",\"https:\/\/www.youtube.com\/channel\/UCMWnscxPwRF_PqXo9B7q_Tw\"]}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Weighted Moving Average - Tutorial","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/","og_locale":"en_US","og_type":"article","og_title":"Weighted Moving Average - Tutorial","og_description":"Equal weights are assigned to all periods in the computation of simple moving average. The weighted moving average assigns more weight to some demand values (usually more recent ones) the Table 2.1 Shows the computation for three months weighted moving average with a weight of 0, 5 assigned to the most recent demand value, a...","og_url":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/","og_site_name":"Tutorial","article_publisher":"https:\/\/www.facebook.com\/vskills.in\/","article_modified_time":"2024-04-12T08:57:27+00:00","twitter_misc":{"Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/","url":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/","name":"Weighted Moving Average - Tutorial","isPartOf":{"@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#website"},"datePublished":"2021-01-22T09:27:20+00:00","dateModified":"2024-04-12T08:57:27+00:00","breadcrumb":{"@id":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.vskills.in\/certification\/tutorial\/weighted-moving-average-3\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.vskills.in\/certification\/tutorial\/"},{"@type":"ListItem","position":2,"name":"Weighted Moving Average"}]},{"@type":"WebSite","@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#website","url":"https:\/\/www.vskills.in\/certification\/tutorial\/","name":"Tutorial","description":"Vskills - A initiative in elearning and certification","publisher":{"@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.vskills.in\/certification\/tutorial\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#organization","name":"Vskills","url":"https:\/\/www.vskills.in\/certification\/tutorial\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#\/schema\/logo\/image\/","url":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2017\/07\/vskills-min-logo.jpg","contentUrl":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-content\/uploads\/2017\/07\/vskills-min-logo.jpg","width":73,"height":55,"caption":"Vskills"},"image":{"@id":"https:\/\/www.vskills.in\/certification\/tutorial\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/vskills.in\/","https:\/\/x.com\/vskills_in","https:\/\/www.linkedin.com\/company-beta\/1371554\/","https:\/\/www.youtube.com\/channel\/UCMWnscxPwRF_PqXo9B7q_Tw"]}]}},"_links":{"self":[{"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/pages\/103579","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/comments?post=103579"}],"version-history":[{"count":1,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/pages\/103579\/revisions"}],"predecessor-version":[{"id":103580,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/pages\/103579\/revisions\/103580"}],"wp:attachment":[{"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/media?parent=103579"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/categories?post=103579"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vskills.in\/certification\/tutorial\/wp-json\/wp\/v2\/tags?post=103579"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}