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The accuracy of intermittent demand estimates

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Syntetos, Aris A., Boylan, John E.·2005·International Journal of Forecasting

Abstract

Intermittent demand appears sporadically, with some time periods showing no demand at all. In this paper, four forecasting methods, Simple Moving Average (SMA, 13 periods), Single Exponential Smoothing (SES), Croston's method, and a new method (based on Croston's approach) recently developed by the authors, are compared on 3000 real intermittent demand data series from the automotive industry. The mean signed and relative geometric root-mean-square errors are shown to meet the theoretical and practical requirements of intermittent demand, as do the Percentage Better and Percentage Best summary statistics based on these measures. These measures are subsequently applied in a simulation experiment. The out-of-sample comparison results indicate superior performance of the new method. In addition, the results show that the mean signed error is not strongly scale dependent and the relative geometric root-mean-square error is a well-behaved accuracy measure for intermittent demand.

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Metadata

Authors
Syntetos, A. A., & Boylan, J. E.
Venue
International Journal of Forecasting
Publisher
Elsevier BV
Published
2005-04
Volume
21
Issue
2
Pages
303-314
ISSN
0169-2070 (ISSN-L)
OpenAlex
W2114733835
Cited by
489
References
0
FWCI
11.00
Type
journal article
Language
en
Open access
green

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CoChat. (2026). Citation check: The accuracy of intermittent demand estimates. https://app.cochat.ai/papers/10.1016/j.ijforecast.2004.10.001
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Syntetos, A. A., & Boylan, J. E. (2005). The accuracy of intermittent demand estimates. International Journal of Forecasting. https://doi.org/10.1016/j.ijforecast.2004.10.001

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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).

Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.