Hosoda, Takamichi and Disney, Stephen Michael  ORCID: https://orcid.org/0000-0003-2505-9271
2009.
Impact of market demand mis-specification on a two-level supply chain.
International Journal of Production Economics
121
(2)
, pp. 739-751.
10.1016/j.ijpe.2009.04.024
|
Preview |
PDF
- Submitted Pre-Print Version
Download (366kB) | Preview |
Abstract
This paper investigates the impact of mis-specifying the market demand process on a serially linked two-level supply chain. Box–Jenkins models are used to represent both the true and a mis-specified market demand processes. It is shown that the impact of mis-specification on cost is minor if the supply chain tries to minimise the market demand forecast errors. Furthermore, our analysis suggests that mis-specification does not always result in additional costs. A managerial insight is revealed; poor forecast accuracy is not always bad for the total supply chain costs. In other words, employing more accurate forecasting methods may actually result in higher total supply chain costs.
| Item Type: | Article |
|---|---|
| Date Type: | Publication |
| Status: | Published |
| Schools: | Schools > Business (Including Economics) Research Institutes & Centres > Centre for Advanced Manufacturing Systems At Cardiff (CAMSAC) |
| Subjects: | H Social Sciences > HB Economic Theory H Social Sciences > HD Industries. Land use. Labor H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management H Social Sciences > HG Finance |
| Uncontrolled Keywords: | Order-up-to policy; Base-stock policy; Mis-specification; Forecasting; Box–Jenkins model |
| Publisher: | Elsevier |
| ISSN: | 0925-5273 |
| Last Modified: | 24 Nov 2024 04:45 |
| URI: | https://orca.cardiff.ac.uk/id/eprint/18909 |
Citation Data
Cited 25 times in Scopus. View in Scopus. Powered By Scopus® Data
Actions (repository staff only)
 |
Edit Item |
Altmetric
Altmetric