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Essay Details:
Essay text:
Often, these demand oscillations will launch a “mad scramble” in manufacturing with the need to acquire and expedite more raw materials and reschedule production.
The “Bullwhip Effect” has in the past been accepted as normal, and in fact, thought to be an inevitable part of the order-to-delivery cycle. Yet, the negative effect on business
performance is often found in excess inventories, quality problems, higher raw material
costs, overtime expenses and shipping costs. In the worst-case scenario, customer service
goes down, lead times lengthen, sales are lost, costs go up and capacity is adjusted...
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