Hybrid Forecasting Methods
Hybrid forecasting methods combine regression, data smoothing, and other techniques to produce forecasts that can compensate for the weaknesses of individual methods. For example, some forecasting methods are great at short-term forecasting, but cannot capture seasonality.
Hybrid forecasting methods include:
- Vanguard Dampened Trend – a powerful hybrid model that simultaneously detects all trends, cycles, and seasonality in historical data and responds with the most accurate exponential smoothing method. Vanguard Dampened Trend is available across all Vanguard business forecasting applications.
- Log Theta