Which of the following changes would increase the likelihood of a supply chain experiencing the bullwhip effect?
A) engineering changes to the design of a product
B) instituting a more accurate materials management information system
C) closely coordinating promotions with the internal marketing department and suppliers
D) using a more reliable delivery company

Question

Quizplus · Accepted Answer

Engineering changes to the design of a product can disrupt the production process and increase the variability in demand, which in turn can lead to the bullwhip effect. Higher variability in demand leads to higher variability in orders, which creates a ripple effect that amplifies as the orders move up the supply chain.

Which of the Following Changes Would Increase the Likelihood of a Supply