Lesson 2

Question 1

What is complexity and uncertainty in supply chains?

Answer 1

• Demand can go up and down unexpectedly.
• Unplanned events can cause supply chain problems (like natural disasters or strikes).

Question 2

What is simulations used for in supply chain?

Answer 2

• Simulation helps find production slowdowns (bottlenecks) and make production faster.
• Simulation helps create and test backup plans to keep the supply chain strong and prepared for disruptions.

Question 3

What is Scnario Planning Theory?

Answer 3

• Scenario planning involves developing and evaluating different hypothetical situations or scenarios to: Anticipate and prepare for potential disruptions or changes in the supply chain.

Question 4

What is System Nervousness?

Answer 4

• When small changes in one part of the supply chain can cause big disruptions throughout the entire network

Question 5

When does nervousness in supply chain management happen?

Answer 5

Happens when the supply chain becomes unstable due to things like changes in demand, supply problems, or delays: Can cause inefficiencies, higher costs, and make it harder to meet customer needs on time.