Title: On the Bullwhip Effect Measure in Supply Chains with VAR (1) Demand Process
Abstract:In this paper, a two-echelon supply chain, which includes two products based on the following considerations, has been studied and the the bullwhip effect is quantified. Providing a measure for the bu...In this paper, a two-echelon supply chain, which includes two products based on the following considerations, has been studied and the the bullwhip effect is quantified. Providing a measure for the bullwhip effect that enables us to analyze and reduce this phenomenon in supply chains with two products is the basic purpose of this paper. Demand of products is presented by the first order vector autoregressive time series and ordering system is established according to order up to policy. Moreover, lead-time demand forecasting is based on moving average method because this forecasting method is used widely in real world. Based on these assumptions, a general equation for the bullwhip effect measure is derived and there is a discussion about non-existence of an explicit expression for the bullwhip effect measure according to the present approach on the the bullwhip effect measure. However, the bullwhip effect equation is presented for some limited cases. Finally, the the bullwhip effect in a two-product supply chain is analyzed by a numerical example.Read More
Publication Year: 2008
Publication Date: 2008-12-01
Language: en
Type: article
Indexed In: ['doaj']
Access and Citation
Cited By Count: 5
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