6533b832fe1ef96bd129a374

RESEARCH PRODUCT

On the Bullwhip Avoidance Phase: The Synchronised Supply Chain

Salvatore CannellaManfredi BruccoleriElena CianciminoJose M. Framinan

subject

Information Systems and ManagementSupply chain managementGeneral Computer ScienceOperations researchComputer scienceSupply chainService managementManagement Science and Operations ResearchSettore ING-IND/35 - Ingegneria Economico-GestionaleIndustrial and Manufacturing EngineeringModeling and SimulationBullwhip effectInventory Supply chain management Simulation Collaboration Information sharingBullwhipLead time

description

Abstract The aim of this paper is to analyse the operational response of a Synchronised Supply Chain (SSC). To do so, first a new mathematical model of a SSC is presented. An exhaustive Latin Square design of experiments is adopted in order to perform a boundary variation analysis of the main three parameters of the periodic review smoothing ( S ,  R ) order-up-to policy: i.e., lead time, demand smoothing forecasting factor, and proportional controller of the replenishment rule. The model is then evaluated under a variety of performance measures based on internal process benefits and customer benefits. The main results of the analysis are: (I) SSC responds to violent changes in demand by resolving bullwhip effect and by creating stability in inventories under different parameter settings and (II) in a SSC, long production–distribution lead times could significantly affect customer service level. Both results have important consequences for the design and operation of supply chains.

10.1016/j.ejor.2012.02.039http://hdl.handle.net/20.500.11769/243873