CS01

Question 0

What is the purpose of the beer game?

Answer 0

Demonstrates the benefits of information sharing, supply chain management and eCollaboration in the supply chain

Question 1

Illustrate the bullwhip effect! Describe any four factors that have impact on bullwhip effect and propose counter measures!

Answer 1

The bullwhip effect describes an extreme fluctuation the stocks at the beginning of a supply chain combined with little or no change in costumer demand. Large back order changes are also dependent to a large excess inventory

1) multiple, local forecast
- > central forecast, VIM
2) long reaction time
- > increase the order frequency
3) price promotions
- > everyday low prices
4) changing orders
- > dynamic change in flexibility