An industry on the forecasting system of large-scale wood furniture manufacturers in Metro Manila

• Main Author: Rodriguez, Edsel A.
• Format: text
• Language: English
• Published: Animo Repository 1999
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/1647
• Institution: De La Salle University

The wooden furniture industry has grown to be a major contributor in the country's economy. Until now, the industry is continually growing and expanding its horizon through the exportation of furniture products to different countries such as United States and Europe nation. The industry is backed up by the development of new products and innovation of technology, which makes it more interesting. It is a known fact that forecasting deals with the prediction of future events within a certain level of accuracy. As in the case of wood raw material forecasting, it aims to determine the future wood raw material requirement with the use of pertinent data. As of the present, the wooden furniture industry needs to consider the importance of wood raw material forecasting in order to maximize the nation's resources and minimize the industry's losses. As time progresses, the supplies or our natural resources are being depleted. Because of its potential scarcity in the future, the industry needs to find new measures to make the most out of these resources, bearing in mind the reduction of the costs associated with it. These costs can be classified into two: opportunity cost and holding cost. Several indicators or indexes contribute to the determination of the precise amount of wood required by the industry to support its production. One of the indicators is the new residential and new non-residential establishment in USA and Europe. Another indicator is the Philippine construction expenditure (residential and non-residential addition, repair, alteration and actual construction). The foreign exchange rate of the dollar and peso is another indicator. These indicator could be used to prepare a forecasting model, which would greatly help in the maximization of resources and at the same time minimization of costs. It would be up to the industry to implement a plan in order to meet their objectives. To attain these objectives, involvement of personnel, from the president down to the common laborer, is necessary. Each person should have a sense of responsibility. Without this, no proposed model would be successful.