Annaji Sharma, Graduate Student in the Master of Science in Technology program, under the supervision of Dr. Lash Mapa, Professor of Industrial Engineering Technology, recently completed a study entitled “Forecasting and Modeling using Regression and Correlation to Predict Costs.” The research was conducted for BP’s Whiting refinery, the fifth largest in the United States. The purpose of this project was to identify the factors that have an effect on the output cost and develop a forecast model, based on them. The effect of availability and utilization on the total cost was also considered and they were included as factors for forecasting and modeling. Forecasting was performed in two parts. Part I uses multiple regression analysis for forecasting and in part II, Time Series Forecasting System (TSFS), a feature in SAS software was used to forecast individual variables.
Mark Lutz, CFO BP Whiting Business Unit, wrote; “We met yesterday to discuss the results of the study and were very impressed with the quality of the product and the hard work Annaji put into this project. I appreciate the opportunity to work with the University.”