Quantitative Analysis for Measuring and Suppressing Bullwhip Effect
Abstract
Increasing competition in the market generally leads to affect the fluctuation in the product’s demand. Such fluctuations pose a serious concern for the decision maker at each stage of the supply chain. Moreover, the capacity constraint at any level of the supply chain would make the situation more critical by elevating the Bullwhip Effect. The present article introduces a new algorithm i.e. “Iterative Proportional Algorithm (IPA)” under above mentioned situation, which instead of elevating, discourages the bullwhip effect. A comparative analysis of the proposed algorithm with the policies defined in [6] has been provided to explain the bottlenecks of existing policies. It has been established numerically, that application of IPA is beneficial for both retailers as well as supplier, as the combined profit (loss) of all the retailers increases (decreases) and subsequently minimizes the bull whip effect of the supplier. We have incorporated the concept of Product Fill Rate (PFR) through which it is shown that IPA gives better results as compared to other allocation mechanisms.
Author Biographies
Chandra K. Jaggi, Professor, Department of Operational Research, University of Delhi, India. He was awarded “IEOM Outstanding Service Award" "In Recognition and Appreciation of Outstanding Support, Service, Contributions, and Global Community Engagement in Industrial Engineering and Operations Management Profession" by Industrial Engineering and Operations Management Society, USA in 2016. He was awarded the Certificate of Excellence in 2nd Academic Brilliance Award 2014 by EET CRS, Research wing for excellence in Professional Education & Industry, Noida. He is Fellow Member of International Science Congress Association since 2012. In 2010, he was awarded Certificate for his Exceptional Contributions in the field of Inventory Management by Lingaya’s University, Faridabad and in 2009 was awarded Certificate for his Significant Contributions in Operation Management by Society for Reliability Engineering, Quality and Operations Management (SREQOM), New Delhi. A recipient of Shiksha Rattan Puraskar (for Meritorious Services, Outstanding Performance and Remarkable Role) in 2007 by India International Friendship Society. He was Chairman, Governing Body, Sri Aurobindo College, University of Delhi and Treasurer, Governing Body, Acharya Narendra Dev College, University of Delhi. Presently member of Governing Bodies of Shyam Lal College and Bhim Rao Ambedkar College.
He is Life member of ORSI, ISCA, CSI, ISPS, International Science Congress Association, The Society of Mathematical Sciences, University of Delhi, India, Society for Reliability Engineering, Quality and Operations Management. He is a reviewer of more than 25 International/National journals.
His research interest lies in the field of Supply Chain and Inventory Management. He has published 7 Book Chapters and more than 115 research papers in various international/national journals. He has guided 13 Ph. D. and 24 M. Phil. in Operational Research.
He is Editor-in-Chief of International Journal Inventory Control and Management and Associate Editor of International Journal of System Assurance Engineering and Management (IJSAEM), Springer, Co-Editor / Reviewer-In-Charge of The Gstf Journal of Mathematics, Statistics And Operations Research (JMSOR ) and on the Editorial Board of the International Journal of System Sciences: Operations & Logistics, International Journal of Services Operations and Informatics (IJSOI), American Journal of Operational Research (AJOR), International Journal of Enterprise Computing And Business Systems (IJECBS), Journal of Applied Sciences Research (JASR), Australian Journal of Basic and Applied Sciences (AJBAS). He has traveled to USA, Canada, Philippines, Macau, Iran and different parts of India for delivering Key Note Address and invited talks.
Mona Verma, Assistant professor, Shaheed Sukhdev College of Business Studies, Vivek Vihar, University of Delhi. She has earned her Ph.D. in Inventory Management from the Department of Operational Research, Faculty of Mathematical Sciences, University of Delhi. She has obtained her M.Phil.in Inventory Management and Masters in Operational Research from Department of Operational Research, University of Delhi. Her research interest lies in the field of Inventory Management and Supply Chain Management. She has publications in many international journals like Revista Investigacion Operacional (Cuba), YUJOR, International journal of Applied Operations Management, International Journal of Logistics and Supply Chain Management, International Journal of Industrial and System Engineering. Some other journals are Opsearch, IJORO, MR International Journal of Engineering and Technology. She has attended many national as well as international conferences.
Reena Jain is currently pursuing her Ph.D. in the field of Inventory Management, in the Department of Operation Research, Faculty of Mathematical Sciences, University of Delhi. She has earned dual masters, one in Operational Research from the Department of Operational Research, Faculty of Mathematical Sciences, University Of Delhi and the other in Mathematics from Department of Mathematics, C.C.S. University. She has qualified NET. Her research interest lies in the field of Inventory Management and Supply Chain Management. She has published papers in proceedings of ICPQROM and International Journal of Strategic Decision Sciences. She has published one chapter also in a book “Analytical Approaches to Strategic Decision making Interdisciplinary consideration” published by IGI global.
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
