September 2003
Intermediate to advanced
384 pages
8h 16m
English
Content preview from Supply Chains: A Manager's GuideBecome an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
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Stabilizing Demand
In addition to focusing on customers and products that fit your supply chain, you can also shape demand by stabilizing it. As described in Chapter 2, variability is one of the most costly problems in supply chains, particularly when it amplifies as it flows up the chain. Anything you can do to stabilize the flow of demand across the chain will improve your performance and give you a substantial advantage over chains that have to cope with higher levels of variability.
The biggest source of variability in supply chains is a phenomenon called demand lumping, in which a steady flow of demand is divided up into arbitrary chunks that appear as sudden surges in demand. In Figure 13.8, a retailer sells products at a constant daily ...
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I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.