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Unformatted text preview: fluctuates between too much inventory and backlog. This fluctuation from positive to negative about the x-axis gives the Bullwhip Effect its name. In our zPOD game, this Bullwhip Effect was magnified for several reasons, including the that there was no communication between the any of the links in the chain, to go along with the fact that inexperienced people were controlling the supply chain links. If there was communication between the links, the retailer could tell the wholesaler that there was an increase in demand by a certain amount and then the wholesaler could relay that to the distributer who would relay it to the factory. The chain would run much more efficiently and would at least prevent ridiculous inefficiencies of excessive inventory or backlog. This would make the Bullwhip fluctuations less extreme and help business run more smoothly....
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This note was uploaded on 03/30/2008 for the course PSU 006 taught by Professor Lambert,andrewna during the Fall '06 term at Penn State.
- Fall '06