A Model for The Value of Demand Information Sharing in A Two stage Supply Chain
Juhua Wu
Abstract
Juhua Wu
Abstract
In this paper,a two-stage supply chain consisting of a retailer and a manufacturer is presented.With AR(1) process for the end demand,the method of forecasting is simple moving average.The paper use bullwhip effect as the performance index.The bullwhip effect of retailer is analyzed,and manufacturer's is calculated before and after the information sharing as well.Numerical examples are given to show the value of demand information with the different forecasting period.
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In this paper,a two-stage supply chain consisting of a retailer and a manufacturer is presented.With AR(1) process for the end demand,the method of forecasting is simple moving average.The paper use bullwhip effect as the performance index.The bullwhip effect of retailer is analyzed,and manufacturer's is calculated before and after the information sharing as well.Numerical examples are given to show the value of demand information with the different forecasting period.
Key concepts: Bullwhip effect, Supply chain, Information sharing, Demand forecasting, Stage (stratigraphy), Value (mathematics), Supply chain management, Computer science