182 TplhaeyeBde)ewr Gasame (which most supply chain leaders have developed by Jay Forrester in 1961 as part of his work in Industrial Dynamics (1961) at MIT. The goal we aarsstyos tteema c ht htahtewi me pnaocwt oc af lslytshtee ms udpypnlya mc hiac si ni.n a n o n - l i n - Mi s ua cmhpl liikf ei ecdr at hc rkoi nugg ha swuhpippl,yapsrmo cael lscs he sa.nTneeslt di negmsahnodwfsl i c k that in today’s global supply chain, the amplification and distortion is over 200%. However, few measure it, and As a side note, I struggle to count the “ experts” on S&OP. Don’t you find the number of “experts in S&OP” humor - owues w? Iof uSl &d Oh Pa veef fmo rat ds ewme roer et hpartoegfrf ee sc st i va eg ,a di nosnt ’ ti nyvoeun tt ho irnyk levels, margin, and growth? I firmly believe that the aa lcitgi vn imt ye on ft faunt di l iftuy nf cotri ot hn ea lgml oebtar li cms ai snsuufea sc tmu raekre. OS &n lOy P2 %a n ot of cAodmmpi raen iaensaal yr se i sp. uTshhei npgr foobrlwe ma rsdairne opur ri mS ua pr ipl yl yr oC oh taei dn si n politics and the lack of clarity on supply chain excellence. Rt we go i ionndaul sctor mi e ps ai nn itehse omu tapr ekrefto. rTmh eg Cl oobma lpbarnai ne sd swiint ha ltlhbeu t greatest success are smaller and usually drive product innovation into the market. (Clear mission.) Global com - pb ua nt iier os nwi ci tahl l ys ,t awbel es pber aa nk dosf sbtersutgpgrl ea cttoi cdersi.v e i m p r o v e m e n t , Automating the Bullwhip The bullwhip effect is a supply chain phenomenon where orders to suppliers tend to have a larger variability than sales to buyers, which results in an amplified de - mi n ag nsdwvi na gr isa ibni liint yv eunptsotrrye ai nmr. eI ns ppoanrst e, tthoi ss hr ei fst us litns ci no ni ns curme ae sr - demand further up the supply chain.
nmointeimchizneoltohgeybiuslalwvahiilpabimleptaocdt.rFivoera learning engine to LKQ Europe , as shown it nh aFti gt huer eb 4u .l9l w, theispt ienfgf eocnt wb raask4e8p%a dbde itswt reiebnu tcihoannsnheol wd ee -d md i ad nndo at nt eds tt ht eh ec udsi st ot rmi beur t oi or nd emr. oTdheel sr ea as sao pn a? rTt hoef tchoemi pma-n y pg ol e- ml i veen, ttahtei ot ne a. mA sbal i nr edsl uy l ut ,saefdt epr l af onunri nyge amr so do ef ltsh, ed ii ns ti ot iratli n g the plan. Figure 4.9. Bullwhip Effect at LKQ Europe Summer 2022 Testing
183 So, why do we not measure the bullwhip effect? And how do we measure it? ( Is a comparison of COV of channel de- mand versus orders sufficient? Or a similar comparison of customer orders or planned orders? Or planned orders to purchase orders?) Why do we not measure it as a part of standard implementation? I don’t know. Ic aotfitoennaol bt os oe rl voer cs oo mc i aplannei et ws uo sr ikni ng gt haec tbi ve iet ry. gIanmt he ea ss easns ieodnus -, tt ha ke el ne ai rs ni ni ncgo ni ss ii ns ttee nn ts ew ai tnhdt hp er ol feoaur nn di n. gH. oMwoesvt eorf, tt hh ee at icmt i eo ,n implementing Advanced Planning Systems (APS), Enter -
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