Analyzing Compound Causes of the Bullwhip Effect
This paper investigates compound causes of the bullwhip effect. We consider a distribution system with cross-correlated demand streams. We examine a baseline scenario in which only forecasting causes the bullwhip effect and then introduce other sources including order batching, price variations, and shortage rationing into the problem. The compounded effects are decomposed and their manitudes are examined in relation to the parameters of the model.
INFORMS Annual Conference
Zhang, Xiaolong, Gerard Burke.
"Analyzing Compound Causes of the Bullwhip Effect."
Logistics & Supply Chain Management Faculty Presentations.