Configuring the forecast

Horizon, candidate models, selection metric, reconciliation, backtests, and cold-start relations.

The Parameters step names the scenario and tells the engine how to evaluate models. The engine tests the models you pick and keeps the best one per DFU.

Horizon and granularity

Monthly horizon is how many months ahead to forecast. It must be a positive integer and shorter than the number of historical months in the file.

Granularity is monthly. Daily forecasting is marked coming soon and cannot be selected.

Candidate models

Choose at least one model. More models make the run longer. Prefer the recommended set; machine-learning models mainly help when known-future regressors exist.

The picker groups models using the Analysis diagnosis:

GroupModelsWhen it is recommended
Recommended for your dataAuto ETS, Auto ARIMA, Auto Theta, Seasonal naive, plus Croston optimized and/or LightGBM when the diagnosis calls for themPre-selected from intermittency and future regressors
BaselinesNaive, Historical average, Window averageSimple references to compare against
Intermittent (Croston)Croston optimized, Croston classicWhen the file has intermittent series
Machine learningGBM, LightGBM, XGBoostWhen known-future regressors are present

Select recommended restores that diagnosis-based set. You can still add or remove models by hand.

Selection metric

The metric decides which candidate wins per DFU. Lower scores are better.

MetricWhat it measures
WMAPE (default)Volume-weighted percentage error — larger series weigh more
MASEError on the series’ own scale — comparable across items of different volume
MAEMean absolute error, in the same unit as demand
RMSEPenalizes large misses; useful when peaks matter more
MAPESimple percentage error — small series can distort the result

Reconciliation

Reconciliation makes totals consistent across hierarchy levels (for example, SKUs adding up to their category).

OptionRole
MinT (default)Minimum trace reconciliation across the hierarchy
Bottom-upAggregate lower-level forecasts upward
Top-downDistribute higher-level forecasts downward
No reconciliationLeave each level independent

Backtest windows

Backtests replay the forecast over past periods to measure error. You can set 1–12 windows; the default is 4. More windows give a more robust evaluation and a longer run.

Cold-start relations

New or short-history DFUs can borrow structure from an existing series. Add a target DFU and a source DFU. Identifiers autocomplete from the file.

  • Each target can have only one relation.
  • Target and source must be different DFUs.

If you skip relations, the engine can still fall back to similar products, hierarchy share, or a group mean. Explicit relations are the method you control.

Save a draft, or Generate forecast to start Processing.