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About Bullwhip Effect - Supply Chain Management Encyclopedia PDF
The bullwhip effect refers to increasing demand variability as one moves up the supply chain away from the end customer. As orders are passed between companies in the supply chain, small changes in customer demand can be amplified, resulting in widely fluctuating orders being placed on manufacturers. This causes inefficiencies like increased safety stock and production fluctuations. The bullwhip effect is caused by factors like forecast updating, order batching, price variations, and shortage gaming as each company adjusts orders independent of true customer demand.
Detailed Information
| Author: | ['UDAYAN BIPINKUMAR SHAH'] |
|---|---|
| Publication Year: | 2018 |
| Pages: | 7 |
| Language: | English |
| Format: | |
| Price: | FREE |
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