Client Post: The Bullwhip Effect

Excerpt from Blog written by J. Flicker June of 2021.

“August 1, 2023 - The bullwhip effect often occurs when retailers become highly reactive to demand, and in turn, amplify expectations around it, which causes a domino effect along the supply chain. Source: Sloanreview.mit.edu

“During the pandemic, many industries reduced their orders and suppliers reduced their orders and capacity even further (because they anticipated that future orders would also be reduced). When the economy came back, there was no capacity to snap right back. On top of it, ports got congested and we have transportation problems.” states Yossi Sheffi in his book: The New (Ab)Normal: Reshaping Business and Supply Chain Strategy Beyond Covid-19.”

See the full post here: https://www.theverticalcollective.com/tvcblog/post1