E-Business

The Bullwhip Effect

The Bullwhip Effect
Schéma de l'increasing variability of orders up the supply chain
Lee & al. (1997, p.94)

RemarqueCas de Procter & Gamble, HP

What happens when a supply chain is plagued with a bullwhip effect that distorts its demand information as it is transmitted up the chain? In the past, without being able to see the sales of its products at the distribution channel stage, HP had to rely on the sales orders from the resellers to make product forecasts, plan capacity, control inventory, and schedtile produaion.

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