Analyzing Quantitative Models

Abstract

The potential user of a model should not depend entirely upon the model's advocates for an assessment of the model. Rather, he should carry out his own analysis. This article has presented a framework to guide such an analysis. This framework, which is summarized in Table 1, helps to provide a systematic, comprehensive, and explicit evaluation of a model. The framework may be used for the analysis of any quantitative model. The use of the framework was illustrated through a study of the FAITH models at National Beverage. In this case, the framework led to the investigation of issues that had not been studied in the previous six years of testing. These investigations, in turn, led to different conclusions from those that had been reached previously by National Beverage and revealed important information and insight on the human variables involved in the internal assessment and use of quantitative models.

Keywords: Quantitative Model, forecasting