2019Procedia CIRPOpen access

The impact of digital technologies on operational causes of the bullwhip effect – a literature review

Marc Wiedenmann, Andreas Größler

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Abstract

The digital transformation affects individuals, businesses as well as society as a whole. Supply chains are no exception when it comes to the substantial impact of this transformation on almost all aspects of human life — worldwide. The digital transformation in supply chains will change the way materials, information and financial flows are managed within an integrated business network consisting of suppliers, manufacturers, distributors and customers. Within supply chain management, increased demand variability in supply chains moving from the lowest echelon to the highest (the bullwhip effect) has been discussed extensively in the literature. Considering the emergence of the digital transformation, new possibilities for the scientific study of the bullwhip effect arise. The purpose of this paper is to provide an overview of how digital technologies impact operational causes of the bullwhip effect. Therefore, a systematic literature review is conducted, identifying relevant literature and summarizing the pertinent body of knowledge. This work not only gives practitioners inspiration for bullwhip-reducing technology usage, but also identifies research gaps, inspiring further scientific investigation.

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The digital transformation affects individuals, businesses as well as society as a whole. Supply chains are no exception when it comes to the substantial impact of this transformation on almost all aspects of human life — worldwide. The digital transformation in supply chains will change the way materials, information and financial flows are managed within an integrated business network consisting of suppliers, manufacturers, distributors and customers. Within supply chain management, increased demand variability in supply chains moving from the lowest echelon to the highest (the bullwhip effect) has been discussed extensively in the literature. Considering the emergence of the digital transformation, new possibilities for the scientific study of the bullwhip effect arise. The purpose of this paper is to provide an overview of how digital technologies impact operational causes of the bullwhip effect. Therefore, a systematic literature review is conducted, identifying relevant literature and summarizing the pertinent body of knowledge. This work not only gives practitioners inspiration for bullwhip-reducing technology usage, but also identifies research gaps, inspiring further scientific investigation.

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Available abstract

The digital transformation affects individuals, businesses as well as society as a whole. Supply chains are no exception when it comes to the substantial impact of this transformation on almost all aspects of human life — worldwide. The digital transformation in supply chains will change the way materials, information and financial flows are managed within an integrated business network consisting of suppliers, manufacturers, distributors and customers. Within supply chain management, increased demand variability in supply chains moving from the lowest echelon to the highest (the bullwhip effect) has been discussed extensively in the literature. Considering the emergence of the digital transformation, new possibilities for the scientific study of the bullwhip effect arise. The purpose of this paper is to provide an overview of how digital technologies impact operational causes of the bullwhip effect. Therefore, a systematic literature review is conducted, identifying relevant literature and summarizing the pertinent body of knowledge. This work not only gives practitioners inspiration for bullwhip-reducing technology usage, but also identifies research gaps, inspiring further scientific investigation.

Key concepts: Bullwhip effect, Supply chain, Digital transformation, Business, Supply chain management, Industrial organization, Transformation (genetics), Marketing

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