What is parameter estimate in SAP CA-DDF-RT - Demand Data Foundation for Retail?

SAP Term: parameter estimate

• Component: CA-DDF-RT

• Component Name: Demand Data Foundation for Retail

• Description: The estimated value of a demand model parameter measuring the effect of a specific regressor on the demand. Unified Demand Forecast UDF considers the total effect of all regressors on the historical demand to yield the best possible individual model parameter estimates.

Smart SAP Assistant

• Key Concepts: 
  Parameter estimate is a feature of the Demand Data Foundation for Retail (CA-DDF-RT) component of SAP. It is used to estimate the parameters of a demand model, such as seasonality, trend, and noise. The estimated parameters are then used to forecast future demand. 
  
  How to use it: 
  Parameter estimate can be used to improve the accuracy of demand forecasts. To use it, you must first define the parameters that you want to estimate. Then, you can use the parameter estimate feature to calculate the estimated values for those parameters. 
  
  Tips & Tricks: 
  When using parameter estimate, it is important to ensure that the data used for estimation is accurate and up-to-date. Additionally, it is important to consider the impact of outliers on the estimated parameters. 
  
  Related Information: 
  For more information on parameter estimate in SAP, please refer to the SAP Help Portal or contact your local SAP support team.