Demand amplification, or the bullwhip effect, has been identified as contributing to increased uncertainty in the supply chain and hence poor performance in terms of increased costs, protracted lead-times and poor customer service levels. This paper shows the application of a simulation based improvement activity focussing on the ordering decisions within a supply chain. An example of a preliminary business diagnostic and subsequent redesign in a four-tier automotive supply chain is presented including value-volume analysis, variability-volume analysis, part clustering and service level - stocking profiles. Specific improvements of up to 5 to 1 in stock holding are realized for continued customer service levels.


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    Title :

    Minimum Reasonable Inventory and the Bullwhip Effect in an Automotive Enterprise; A “Foresight Vehicle” Demonstrator


    Additional title:

    Sae Technical Papers


    Contributors:
    Evans, G. N. (author) / Naim, M. M. (author) / Disney, S. M. (author)

    Conference:

    SAE 2002 World Congress & Exhibition ; 2002



    Publication date :

    2002-03-04




    Type of media :

    Conference paper


    Type of material :

    Print


    Language :

    English





    2002-01-0461. Minimum Reasonable Inventory and the Bullwhip Effect in an Automotive Enterprise; A "Foresight Vehicle" Demonstrator

    Naim, M. M. / Disney, S. M. / Evans, G. N. et al. | British Library Conference Proceedings | 2002


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