Minimum reasonable inventory and the bullwhip effect in an automotive enterprise: A "foresight vehicle" demonstrator

Naim, Mohamed Mohamed ORCID: https://orcid.org/0000-0003-3361-9400, Disney, Stephen Michael ORCID: https://orcid.org/0000-0003-2505-9271 and Evans, G. 2002. Minimum reasonable inventory and the bullwhip effect in an automotive enterprise: A "foresight vehicle" demonstrator. Presented at: SAE 2002 World Congress & Exhibition, Detroit, MI, USA, 4 March 2002. SAE Technical Paper. Warrendale, PA: SAE International, pp. 196-203. 10.4271/2002-01-0461

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Abstract

Demand amplification, or the bullwhip effect, has been identified as contributing to increased uncertainty in the supply chain and hence poor performance in terms of increased costs, protracted lead-times and poor customer service levels. This paper shows the application of a simulation based improvement activity focussing on the ordering decisions within a supply chain. An example of a preliminary business diagnostic and subsequent redesign in a four-tier automotive supply chain is presented including value-volume analysis, variability-volume analysis, part clustering and service level - stocking profiles. Specific improvements of up to 5 to 1 in stock holding are realized for continued customer service levels.

Item Type:	Conference or Workshop Item (Paper)
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics) Centre for Advanced Manufacturing Systems At Cardiff (CAMSAC)
Subjects:	H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management H Social Sciences > HE Transportation and Communications T Technology > TL Motor vehicles. Aeronautics. Astronautics T Technology > TS Manufactures
Publisher:	SAE International
Date of First Compliant Deposit:	4 October 2018
Last Modified:	02 Mar 2023 14:08
URI:	https://orca.cardiff.ac.uk/id/eprint/40983

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