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Part 1

Consider the supply chain illustrated below:

ManufacturerDistributorWholesalerRetailer

The diagram contains 4 rectangles. From left to right the rectangles are labeled "Manufacturer," "Distributor," "Wholesaler," and "Retailer." There are arrows pointing from left to right between each box as follows: Manufacturer to Distributor, Distributor to Wholesaler, and Wholesaler to Retailer.Last year the retailer's weekly variance of demand was

190

units. The variance of orders was

510,

610

800

and

1,300

units, for the retailer, wholesaler, distributor, and manufacturer, respectively. (Note that the variance of orders equals the variance of demand for that firm's supplier.)

Part 2

a) The bullwhip measure for the retailer is

(Enter your response rounded to two decimal places.)

Part 3

b) The bullwhip measure for the wholesaler is

(Enter your response rounded to two decimal places.)

Part 4

c) The bullwhip measure for the distributor is

(Enter your response rounded to two decimal places.)

Part 5

d) The bullwhip measure for the manufacturer is

(Enter your response rounded to two decimal places.)

Part 6

e) In this supply chain, the

retailer

appears to be contributing the most to the bullwhip effect.