Case Study Analysis and Solutions

Simulation ID: 6619

Abstract:
Simulation Solution for Supply Chain Management Simulation: Root Beer Game V2
In this fast-paced, multi-player simulation, students experience the effects of a supply chain dynamic called the "bullwhip" effect. Small changes in customer demand cause increasing oscillations in ordering patterns and inventory levels moving down the supply chain away from the customer. Students play one of four roles in a root beer supply chain: factory, distributor, wholesaler, or retailer. In each simulated week, they must examine inventory, anticipate demand, and send orders to the adjacent connection in the supply chain. Each student attempts to minimize inventory carrying costs while avoiding costly inventory shortages. Students must make rapid ordering decisions while dealing with limited information, a lack of demand visibility, and shipping delays. Faculty can configure different supply chain scenarios for students to help them explore the root causes of the bullwhip effect while enabling discussion of techniques for controlling it.

Keywords:
Demand analysis, Design, Forecasting, Operations management, Product management, Suppliers, Supply chain management, Supply Chain Management Simulation Root Beer Game V2 Solution

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