scholarly journals INFORMATION SHARING SYSTEM TO MINIMIZE BULLWHIP EFFECT RISK ON SUPPLY CHAIN MANAGEMENT

2018 ◽  
Vol 3 (1) ◽  
Author(s):  
ERFANTI FATKHIYAH ◽  
Cyrilla Indri Parwati
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Distribution Channel ◽  
Bullwhip Effect ◽  
Supply Chain System ◽  
Web Based ◽  
Product Flow ◽  
Manufactured Products ◽  
The Right ◽  
High Level

The process of delivering manufactured products to the hands of consumers, technically the product flow that occurs ie products in the form of finished goods will move from the factory warehouse to the consumer through a series of channels and distribution facilities. This distribution starts from the finished goods warehouse, distribution warehouse, retailer up to the wearer. The existence of various parties involved and coordinate in the flow of products from the factory to the consumer will form a system known as the supply chain system (Pujawan, 2010). Providers of fast products and services, the right time, and the desired conditions while still providing an optimal contribution to the company. Obstacles that are often encountered in the implementation of supply chain is the lack of coordination in terms of sharing information between the chain, thus causing distortion of information and trigger the occurrence of bullwhip effect that is a spike from the actual demand in the consumer level or downstream chain resulting in a very sharp spike at a far level from the upstream consumer or chain. The result of the bullwhip effect is the excess inventory, because demand is much smaller than the demand of the retailers, the unorganized production schedule, the unutilized production facilities optimally, because the production plan still has a high level of speculation. The use of information systems that have not been effective, causing the flow of information to be distorted or distorted, resulting in chaos in the flow of products that occur bullwhip effect and indirectly affect the cash flow of the company. The final result of the research is the application of Web-based Information Sharing System on the distribution channel that can be used efficiently and can provide information deviations that occur between the chains. The hope of stock monitoring results can be used as a control in looking at stock inventory in distributors and retail, so if there is a bullwhip effect, it will appear warning and immediately addressed by the distributor.Keywords: information sharing system, bullwhip effect, distortion of information.

scholarly journals IDENTIFICATION EXISTENCE OF BULLWHIP EFFECT ON SUPPLY CHAIN PT. ABC

2016 ◽  
Vol 9 (1) ◽  
pp. 91
Author(s):  
Yulie Megawati
Keyword(s):  
Supply Chain ◽  
Bullwhip Effect ◽  
Raw Material ◽  
Research Model ◽  
Model Data ◽  
Material Supply ◽  
The Right ◽  
High Level ◽  
The Impact ◽  
A Company

Bullwhip effect is the main evidence of inefficiency in the supply chain of a company. Bullwhip effect describes the tendency of increasing the number of purchases of raw material supply chain<br />as a result of the inability to predict the increase in the number of requests. This study is the high level of inventory, whether as a result of the bullwhip effect or was due to an increase in demand. The purpose of this study was to determine the contribution of each factor causes of the bullwhip effect, identify the factors that provide the greatest impact on supply chain performance and find solutions to reduce the impact caused. The approach of this research is done by collecting data for inventory movement in the period 2003-2007, analyzing the interaction between members in the supply chain. Theory - the theory was used to create a research model. Data analysis is done by analyzing graphs and statistical analysis for the right to draw conclusions from this research. Results from this study that the coordination of “end to end” supply chain to reduce the impact of<br />bullwhip effect in supply chain

scholarly journals Complex Characteristics of Multichannel Household Appliance Supply Chain with the Price Competition

Complexity ◽  
2017 ◽  
Vol 2017 ◽  
pp. 1-12 ◽  
Author(s):  
Junhai Ma ◽  
Wandong Lou
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Price Competition ◽  
Domain Of Attraction ◽  
Bullwhip Effect ◽  
Price Adjustment ◽  
Stable Region ◽  
Supply Chain System ◽  
Household Appliance ◽  
Internet Channel

This paper studies the complex characteristics caused by the price competition in multichannel household appliance supply chains. We consider a two-level household appliance supply chain system consisting of a manufacturer with an Internet channel and a retailer with a traditional channel and an Internet channel. Each channel’s price-setting follows the bounded rational decision process in order to obtain the optimal profit or more market share. Considering that the price competition often leads to the demand and order fluctuation, we also investigate the bullwhip effect of the multichannel supply chains on the basis of the order-up-to-inventory policy. From the numerical simulation, we find a system in a chaotic state will suffer larger bullwhip effect than a stable system, and the manufacturer’s Internet channel is helpful to mitigate the bullwhip effect. Our results provide some useful managerial inspirations for the household manufacturer and retailers. Firstly, each channel should make their retail price with a suitable price adjustment speed in the stable region, and each time pricing cannot exceed the domain of attraction. Secondly, the manufacturer can adopt a more radical pricing strategy in their Internet channel to mitigate the bullwhip effect. Thirdly, the price adjustment should be reviewed and be appropriately reduced if the price adjustment is too large.

Fuzzy Electronic Supply Chain System

2011 ◽  
pp. 187-201
Author(s):  
Hamed Fazlollahtabar ◽  
Hamed Hajmohammadi ◽  
Iraj Mahdavi ◽  
Nezam Mahdavi-Amiri ◽  
Amir Mohajeri
Keyword(s):  
Supply Chain ◽  
Delivery System ◽  
Raw Materials ◽  
Electronic Market ◽  
Distribution Centers ◽  
Supply Chain System ◽  
Web Based ◽  
Chain System ◽  
Supply Chain Management System ◽  
Fuzzy Order

A supply chain is a network of suppliers, factories, warehouses, distribution centers and retailers, through which raw materials are acquired, transformed, produced and delivered to the customer. An effective and efficient way of managing this network is called a supply chain management system. The authors’ purpose here is to design a capable electronic supply chain system in an electronic market. The authors consider a supply chain composed of supplier, plant, and customer. The aim is to optimize a real time web-based fuzzy order-delivery system for which customer satisfaction is emphasized. As such, a comprehensive web-based order-delivery system in an electronic market is proposed and optimized applying fuzzy mathematical programming.

scholarly journals Green Manufacturing Strategy Considering Retailers’ Fairness Concerns

2019 ◽  
Vol 11 (17) ◽  
pp. 4646 ◽  
Author(s):  
Zhang ◽  
Zhang ◽  
Pu ◽  
Li
Keyword(s):  
Supply Chain ◽  
Positive Impact ◽  
Green Manufacturing ◽  
Optimal Decision ◽  
Manufacturing Strategy ◽  
Supply Chain System ◽  
Dual Channel ◽  
Fairness Concerns ◽  
Fairness Concern ◽  
High Level

This paper addresses the problem of green manufacturing decision making for a green dual-channel supply chain (SC). In the investigated SC, the manufacturer will decide whether to adopt green manufacturing under the influence of the retailer’s fairness concern-based dual-channel. Thus, we discuss two decision scenarios: the no green manufacturing strategy with retailer fairness (NM model), and green manufacturing with retailer fairness (GM model). Our study has several findings: Firstly, adopting a green manufacturing strategy is not always beneficial to supply-chain members when a retailer has fairness. In particular, when fairness is at a relatively high level, the manufacturer will not adopt green manufacturing. Secondly, under green manufacturing, the product’s green degree and subsidies have a positive impact on the price and demand and the members’ profit and utility. Besides, the subsidies and retailer fairness have a counter effect on the optimal decision. Thirdly, comparing the two scenarios (NM & GM), we found that the channel price of the GM model is lower than the NM model. Finally, from the perspective of the supply chain system, the system tends toward the manufacturer adopting green manufacturing and maintaining retailer fairness concerns at a lower level.

Investigating the impact of inventory inaccuracy on the bullwhip effect in RFID-enabled supply chains using colored petri nets

2019 ◽  
Vol 14 (2) ◽  
pp. 360-384 ◽  
Author(s):  
Maria Drakaki ◽  
Panagiotis Tzionas
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Petri Nets ◽  
Information Sharing ◽  
Bullwhip Effect ◽  
Colored Petri Nets ◽  
Content Type ◽  
Multi Stage ◽  
The Impact ◽  
Serial Supply Chains

PurposeInformation distortion results in demand variance amplification in upstream supply chain members, known as the bullwhip effect, and inventory inaccuracy in the inventory records. As inventory inaccuracy contributes to the bullwhip effect, the purpose of this paper is to investigate the impact of inventory inaccuracy on the bullwhip effect in radio-frequency identification (RFID)-enabled supply chains and, in this context, to evaluate supply chain performance because of the RFID technology.Design/methodology/approachA simulation modeling method based on hierarchical timed colored petri nets is presented to model inventory management in multi-stage serial supply chains subject to inventory inaccuracy for various traditional and information sharing configurations in the presence and absence of RFID. Validation of the method is done by comparing results obtained for the bullwhip effect with published literature results.FindingsThe bullwhip effect is increased in RFID-enabled multi-stage serial supply chains subject to inventory inaccuracy. The information sharing supply chain is more sensitive to the impact of inventory inaccuracy.Research limitations/implicationsInformation sharing involves collaboration in market demand and inventory inaccuracy, whereas RFID is implemented by all echelons. To obtain the full benefits of RFID adoption and collaboration, different collaboration strategies should be investigated.Originality/valueColored petri nets simulation modeling of the inventory management process is a novel approach to study supply chain dynamics. In the context of inventory errors, information on RFID impact on the dynamic behavior of multi-stage serial supply chains is provided.

scholarly journals Exploring the Bullwhip Effect and Inventory Stability in a Seasonal Supply Chain

10.5772/56833 ◽  
2013 ◽  
Vol 5 ◽  
pp. 23 ◽  
Author(s):  
Francesco Costantino ◽  
Giulio Di Gravio ◽  
Ahmed Shaban ◽  
Massimo Tronci
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Performance Measures ◽  
Moving Average ◽  
Bullwhip Effect ◽  
Fill Rate ◽  
Supply Chain Dynamics ◽  
Effect Ratio ◽  
The Impact ◽  
Demand Seasonality

The bullwhip effect is defined as the distortion of demand information as one moves upstream in the supply chain, causing severe inefficiencies in the whole supply chain. Although extensive research has been conducted to study the causes of the bullwhip effect and seek mitigation solutions with respect to several demand processes, less attention has been devoted to the impact of seasonal demand in multi-echelon supply chains. This paper considers a simulation approach to study the effect of demand seasonality on the bullwhip effect and inventory stability in a four-echelon supply chain that adopts a base stock ordering policy with a moving average method. The results show that high seasonality levels reduce the bullwhip effect ratio, inventory variance ratio, and average fill rate to a great extent; especially when the demand noise is low. In contrast, all the performance measures become less sensitive to the seasonality level when the noise is high. This performance indicates that using the ratios to measure seasonal supply chain dynamics is misleading, and that it is better to directly use the variance (without dividing by the demand variance) as the estimates for the bullwhip effect and inventory performance. The results also show that the supply chain performances are highly sensitive to forecasting and safety stock parameters, regardless of the seasonality level. Furthermore, the impact of information sharing quantification shows that all the performance measures are improved regardless of demand seasonality. With information sharing, the bullwhip effect and inventory variance ratios are consistent with average fill rate results.

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