MAPE
Supply Chain
MAPE (Mean Absolute Percentage Error)
Mean Absolute Percentage Error
Average absolute forecast error expressed as a percentage of actual demand; problematic when actuals are zero or very small.
Examples
- 01The MAPE for a slow-moving spare part is 85 %, partly because a few months with very low sales inflate the error.
- 02The planning team reviews MAPE by product family monthly, but uses WAPE for items with many zero-sales months.
- 03When MAPE for a key product rises sharply, the planner checks for one-off orders that distorted the history.