The phenomenon in which the variability in the size and timing of orders increases at each stage of the supply chain is known as the ________ effect.

Question

Quizplus · Accepted Answer

The phenomenon described is commonly known as the Bullwhip effect, where supply chain partners amplify demand variability by ordering more goods than they need, to buffer themselves from forecast errors or long lead times. This, in turn, causes orders to become more and more exaggerated as they move upstream through the supply chain.

The Phenomenon in Which the Variability in the Size and Timing