Measuring information distortion in real-world supply chains

Autor: Vijay Aggarwal, Tarikere T. Niranjan, Stephan M. Wagner
Rok vydání: 2011
Předmět:
Zdroj: International Journal of Production Research. 49:3343-3362
ISSN: 1366-588X
0020-7543
DOI: 10.1080/00207541003796814
Popis: After years of being thought to be an inevitable fact of life, demand information distortion (Bullwhip effect) is now increasingly coming under scrutiny by researchers, with conflicting findings being reported about its existence. The conflicting reports are partly due to the measurement issues surrounding Bullwhip, and partly due to the changed business practices in some sectors which the Bullwhip construct was perhaps not originally designed to capture. This article attempts to reconcile these issues. It integrates two distinct dimensions of information distortion: amplification of order variance and schedule instability, and proposes a framework to capture the underlying information distortion more comprehensively. The framework is illustrated through a case study of an automotive supply chain under real-world considerations such as capacity limits and contemporary IT-enabled information sharing practices. The ‘degree of over-ordering’ was found to be a good indicator of information distortion.
Databáze: OpenAIRE
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