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Function documentationComposite Forecasting Locate the document in its SAP Library structure


This function combines forecasts from alternative forecasting methods (such as times series, casual, and/or judgmental) for a particular brand, product family or product. Each forecast is based on the same historical data but uses a different technique. The underlying objective is to take advantage of the strengths of each method to create a single "one number" forecast. Either you can average the forecasts giving each one equal weight, or you can weight each one differently, or you can vary the weightings of each forecast over time.

By combining the forecasts, the business analyst's objective is to develop the best forecast possible. The composite forecasts of several mathematical and/or judgmental methods have been proven to out-perform the individual forecasts of any of those methods used to generate the composite.


Management by exception using the Alert Monitor is not possible with composite forecasting.


You build a composite model in a composite forecast profile.

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