3) Write a short note on the bullwhip effect. [3 points]

4) Briefly explain the following in the context of effectively managing a supply-chain: [8 points]

(a) Vendor-Managed Inventory (VMI)

(b) Blanket orders

(c) Postponement

(d) 3PL

5) Consider the simple 3-station assembly line illustrated below, where the two machines at Station 2 are parallel, i.e., the product only needs to go through one of the two machines before proceeding to Station 3. Find the

(a) process capacity [4 points]

(b) throughput time [4 points]