Providing a measure for bullwhip, effect in a two-product supply chainn with exponential smoothing forecasts

摘要

In this paper, a two-product and two-echelon supply chain is considered in order to quantify the bullwhip effect. Demands of the products are correlated and are represented by a first order vector autoregressive model. Retailer uses "order up to" ordering policy for replenishment of stocks and utilizes exponential smoothing forecast method to predict demand in lead-time period. According to the mentioned assumptions, an equation is derived for bullwhip effect measurement and then a numerical exa