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The bullwhip effect in the supply chain - indicator proposal

The objective of this paper is to emphasize the importance of sharing data in a supply chain, as a strategy to reduce the bullwhip effect. To achieve this effect, its causes, the ways it shows itself and the means to avoid it are presented. In order to facilitate the understanding about the damages caused by its influence, a hypothetical scenario is suggested, in which the components of a supply chain try to align its offer to its demand. Next, based on a bibliographical research, the solution - the strategic alignment and the information sharing - are shown, thus creating the synergy needed for developing competitive advantage for the company and/or for the chain. Finally, to support this solution, we created an indicator based on a supply chain, simulated several times in the classroom using software, which demonstrated the positive effects of sharing data.

Bullwhip effect; Supply chain management; Competitive advantage; Bullwhip effect indicator


Universidade Federal de São Carlos Departamento de Engenharia de Produção , Caixa Postal 676 , 13.565-905 São Carlos SP Brazil, Tel.: +55 16 3351 8471 - São Carlos - SP - Brazil
E-mail: gp@dep.ufscar.br