What problems result if each stage of a supply chain views its demand as the orders placed by the downstream stage? How should firms within a supply chain communicate to facilitate coordination?
Answer to relevant QuestionsWhat factors lead to a batching of orders within a supply chain? How does this affect coordination? What actions can minimize large batches and improve coordination? Consider a supermarket deciding on the size of its replenishment order from Proctor & Gamble. What costs should it take into account when making this decision? Why do manufacturers such as Kraft and Sara Lee offer trade promotions? What impact do trade promotions have on the supply chain? How should trade promotions be structured to maximize their impact while minimizing the ...Describe the two types of ordering policies and the impact that each of them has on safety inventory. How can postponement of product differentiation be used to improve supply chain profitability?
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