The bullwhip effect: causes, intensity, and mitigation

The Bullwhip Effect: Analysis of the Causes and Remedies

Preface This research paper is a compulsory part of the Master's program Business Analytics at the VU University Amsterdam. The student should do research on a business related problem, with a strong mathematical or computer science component. The research could be based on literature, but may also be extended with own research. This research paper presents an elaborate literature overview of t...

Investigation the Combination of the Bullwhip Effect Weakening and the Anti-Bullwhip Effect Strengthen

Returns and the bullwhip effect

An almost universal assumption in the bullwhip effect modeling literature is that excess goods may be returned without restriction. We seek to determine if returns impact the level of bullwhip effect observed in a multi-stage supply chain. We build a hybrid agent/ discrete-event simulation model of a supply chain and execute it under various conditions of demand variance, lead-time variance, in...

Managing the Bullwhip Effect

The bullwhip effect is the inherent increase in demand fluctuation up the supply chain (i.e., away from customer). Managing the bullwhip effect is minimizing the fluctuation and variation of the demand (i.e., orders from one stage of a supply chain to the next stage of the supply chain) throughout the supply chain. This paper will offer a literature review of this topic, note the key contributi...

Behavioral Causes of the Bullwhip Effect and the Observed Value of Inventory Information

T tendency of orders to increase in variability as one moves up a supply chain is commonly known as the bullwhip effect. We study this phenomenon from a behavioral perspective in the context of a simple, serial, supply chain subject to information lags and stochastic demand. We conduct two experiments on two different sets of participants. In the first, we find the bullwhip effect still exists ...