Question: What are common issues with information sharing in a supply chain? What is the bullwhip effect and how it can be mitigated? Find at least

  1. What are common issues with information sharing in a supply chain?
  2. What is the bullwhip effect and how it can be mitigated?
  3. Find at least three examples for local optimization in a supply chain that hurts total profitability of the supply chain.
  4. Why sales force incentives based on sell-in (rather than sell-through) hurts coordination in a supply chain?
  5. Why should the demand forecasting in different stages of a supply chain be based on customer demand instead of orders received by each stage?
  6. How does ordering in large lots result in high fluctuations in order size up the supply chain?
  7. Explain how rationing results in extra unused manufacturing capacity.
  8. How does discounts based on order size hurts total profitability in a supply chain?
  9. Give an example of aligning incentives across various functions for Amazon (hint: think about how decisions related to facilities, transportation, and inventory can be aligned to maximize total supply chain profit).
  10. Explain what a buyback contract is and how it can increase total profitability of a supply chain.

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