A. calculate the bullwhip measures for the retailer, wholesales, distributor and manufacturer? B. what is the bullwhip effect for the entire supply chain? C. provide actionable guidelines (with anticipated bullwhip measures of each point on how to reduce bullwhip measures to 2 in the supply chain?

A. calculate the bullwhip measures for the retailer, wholesales, distributor and manufacturer? B. what is the bullwhip effect for the entire supply chain? C. provide actionable guidelines (with anticipated bullwhip measures of each point on how to reduce bullwhip measures to 2 in the supply chain?

Operations Research : Applications and Algorithms

4th Edition

ISBN:9780534380588

Author:Wayne L. Winston

Publisher:Wayne L. Winston

Chapter15: Deterministic Eoq Inventory Models

Section15.2: The Basic Economic Order Quantity Model

Problem 1P

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Concept explainers

Business to Business

Business to Business marketing is a business model where businesses make transactions or work with one another. It is a model in which one business is involved in the sales of products and services to other businesses rather than to the end-users or customers. The best way to understand a B2B model is by considering the relationship between a wholesaler and a retailer. In this case, the wholesaler (business) supplies its goods to a retailer, which is another business entity. So, here the transactions occur between two different business entities.

Question

Last year, the retailer's weekly variance of demand was 100 units. The variance of orders was 250, 300, 400 and 600 units for the retailer, wholesalers, distributing and manufacturer. respectively (note that the variance of orders equals the variance of demand for that firm's supplier)

A. calculate the bullwhip measures for the retailer, wholesales, distributor and manufacturer?

B. what is the bullwhip effect for the entire supply chain?

C. provide actionable guidelines (with anticipated bullwhip measures of each point on how to reduce bullwhip measures to 2 in the supply chain?

All your calculations has to be done on paper and has to be done on excel sheets. Each question you must show the formula used to calculate the answer in excel sheet in order to use excel in exam.

The excel sheet must be used as well and provide all the formulas used for each answer in order to use excel in the exam.

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