Search results for " Inventory Management"
showing 2 items of 2 documents
Current economic downturn and supply chain: The significance of demand and inventory smoothing
2014
The aim of this article is to analyse and quantify the effects of demand and inventory smoothing into supply-chain performance, facing the extreme volatility and impetuous alteration of the market produced by the current economic recession. To do so, we model a traditional serial three-stage supply chain and we test five settings of order smoothing under two shocks in the market demand, and we measure effects in terms of internal process benefits and customer service level of all supply chain partners. Results show that the implementation of this inventory strategy should be based on reward schemes; in fact a higher level of smoothing can generally improve the performance of the upstream st…
The Impact Of Demand And Inventory Management Policies On Bullwhip Effect In Production Networks
2004
The bullwhip effect is a phenomenon consisting in variance amplification of orders as they move up a supply chain. The immediate bullwhip effect consequences are the increase of inventory costs, poor custoiner services and inefficient utilization of resources due to the difficulties of production planning activities in highly variable conditions. There are many factors that cause the bullwhip effect, but if is particularly due to demand forecasting and inventory management policies. In this paper the impact on bullwhip effect of different policies to manage demand and inventories has been evaluated through discrete event simulation, using the ARENA (R) simulation package.