Flexibility and redundancy this is necessary in order

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Flexibility and redundancy: this is necessary in order to circumvent potential problems in the supply chain or on the production, when a company is adaptable and has backup providers it is less likely they will run into a shortage of supplies. Short replenishment and lead time: simply reducing this lead time will allow the company to react more quickly to demand and give the company more latitude if the demand spikes at any point. Small order lot sizes: if the cost of ordering and shipping are normalized and reduced then a more stable order and lot size can be expected; this again simply allows a business to have a better prediction of demand and avoid over orders that cannot Ericka Hunter
3/6/2016 Collection – MBA675­T303 Operations & Logistics in the (... ; 30/31 (Post is Read) necessarily be met. Rationing short supplies: this happens when customers or consumers over order when there is a shortage, instead of allowing the over order the company can simply go off of previous orders and reduce the number of potential orders being canceled or oversupply of products. Everyday low pricing: big sales and changing pricing results in high demand and over ordering of a product, if a company keeps pricing stable there will be less spikes in demand and consumers will not react simply to pricing when ordering the product. Cooperation and trustworthiness: providing positive customer service to resolve issues simply allows the business to operate mrore smoothly and maintain a good reputation while issues are resolved. Thread: Q15: Minimize Bullwhip Effect Post: RE: Q15: Minimize Bullwhip Effect Author: Posted Date: February 8, 2016 10:51 PM Status: Published (Post is Read) Hi Ericka, Thanks for your thorough post on bullwhip effect. Personally, I found this interesting, because as a consumer I always find myself purchasing a larger quantity of a product than what I actually need. I believe that each of the ideas that you listed our vital. I can see where technology likely plays a role, especially when looking into Upstream/downstream Supply Chain Integration and Visibility. The quicker that individuals on different ends on the supply chain can interact, the faster decisions can be made regarding a specific product. Similarly, the sooner that the purchases of a product can be seen, the quicker that data can be analyzed and decisions can be made. I can see where the technology behind the the bullwhip effect will likely continue to improve as we move forward. Jenna Jenna Buettner Thread: Q15: Minimize Bullwhip Effect Post: RE: Q15: Minimize Bullwhip Effect Author: Posted Date: February 8, 2016 11:00 PM Status: Published Ericka Thanks for providing examples and explaining the bullwhip effect. I have seen this on both sides one as a consumer and the other as a supplier/manufacture.

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