THE IMPACT AND THE SOURCE OF POLICY DEVIATIONSIN A DECENTRALIZED SUPPLY CHAIN

摘要

This paper studies the impact of replenishment policy deviations on performance of adecentralized supply chain using simulation methods. Based on the beer game setting, wedevelop a benchmark case where all parties follow base stock policy to minimize supply chaincost. Various replenishment policies that deviate from the benchmark case are applied atdifferent positions. The results show that the performance of a decentralized chain is contingenton the types and sources of policy deviations.