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Developing the Bullwhip Effect Measure in a Supply Chain Considering Seasonal Demand and Stochastic Lead Time  

Cho, Dong-Won (한양대학교 산업경영공학과)
Lee, Young-Hae (한양대학교 산업경영공학과)
Publication Information
Journal of the Korean Operations Research and Management Science Society / v.34, no.4, 2009 , pp. 91-112 More about this Journal
Abstract
The bullwhip effect means the phenomenon of increasing demand variation as moving UP to the upstream in the supply chain. Therefore, it is recognized that the bullwhip effect is problematic for effective supply chain operations. In this paper, we exactly quantifies the bullwhip effect for the case of stochastic lead time and seasonal demand in two-echelon supply chain where retailer employs a base-stock policy considering SARMA demand processes and stochastic lead time. We also investigate the behavior of the proposed measurement for the bullwhip effect with autoregressive and moving average coefficient, stochastic lead time, and seasonal factor.
Keywords
Supply Chain Management; Bullwhip Effect; Seasonal Autoregressive Moving Average Processes; Stochastic Lead Time;
Citations & Related Records
Times Cited By KSCI : 1  (Citation Analysis)
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