Question: Based on the given models, model 1 and model 2 you just created, and the course content, which one of the follwing statements is TRUE
Based on the given models, model and model you just created, and the course content, which one of the follwing statements is TRUE about bullwhip effect? Hint: The models you created will be helpful in evaluating these statements.
for Model
Bullwhip effect for Retail Stores
Bullwhip effect for Distribution Center
Bullwhip effect for Assembly Plant
for Model
Bullwhip effect for Retail Stores
Bullwhip effect for Distribution Center
Bullwhip effect for Assembly Plant
Select the correct answer
The effect of the retail store placing daily orders to the distribution center is that the size of the bullwhip effect is now reduced for all stages of the supply chain.
When Customer Demand increases uniformly across all products and all time periods, the bullwhip effect for Retail Stores will also increase.
As order variance for Customer Demand increases, and other order patterns remain the same, the bullwhip effect for Retail Stores will increase, but the other bullwhip effects are unchanged.
If the total demand for a given week is the same, but the variance of customer demand across the products for that week increases, the bullwhip effect for Retail Stores will also increase.
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