The Planning Bullwhip: A Complex Dynamic Phenomenon in Hierarchical Systems

Moscoso, Philip G.; Fransoo, JC Jan; Fischer, Dieter; Wäfler, Toni

doi:10.1007/978-3-642-13382-4_8

Cited by 5 publications

(5 citation statements)

References 30 publications

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“…EU has become an issue of importance among supply chain scholars (Lee, 2002; Prater, 2005; Moscoso et al ., 2010; Wang, 2018) as it has strong implications for supply chain risk, business strategy and firm performance (Wang, 2018). Simangunsong et al .…”

Section: Discussionmentioning

confidence: 99%

“…EU has become an issue of importance among supply chain scholars (Lee, 2002;Prater, 2005;Moscoso et al, 2010;Wang, 2018) as it has strong implications for supply chain risk, business strategy and firm performance (Wang, 2018). Simangunsong et al (2012) have identified various strategies, such as flexibility, collaboration, structural redesign and configuration, used by companies for reducing and coping with uncertainty.…”

Section: Theoretical Implicationsmentioning

confidence: 99%

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The interplay of integration, flexibility and coordination: a dynamic capability view to responding environmental uncertainty

Rehman

Jajja

2022

IJOPM

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PurposeSupply chain literature highlights that environmental uncertainty (EU) encourages firms to integrate their business strategies and develop strategic flexibility (SF). The authors’ use the dynamic capability view (DCV) to explain why the EU motivates firms to develop SF and integrate business strategies for better supply chain coordination (SCC) and enhanced performance. This study tests the role of SCC as a mediator between (1) business strategy integration (BSI) and operational performance, and (2) SF and operational performance. The study also measures the contingent effect of structural constructs on the relationship between EU, BSI and SF.Design/methodology/approachData of 356 firms drawn from the continuous innovation network (CINet) are used in this paper. Structural equation modeling (SEM) is used to test the direct, indirect and moderation hypotheses.FindingsThe paper finds that EU enhances SF and BSI. Further, BSI has a significant positive impact on SCC that drives operational performance. The paper also finds that SF has no direct impact on SCC rather it affects SCC through BSI. SCC mediates the relationship between (1) SF and operational performance, and (2) BSI and operational performance. The organization's structural factors including connectedness and formalization moderate the effect of EU on BSI and SF.Originality/valueThe paper extends debate at the interface of supply chain risk and strategy literature and provides a specific understanding of the “external-internal-external” mechanism in the context of the turbulent business environment. This mechanism helps to understand why and under what structural conditions EU (external) leads to BSI and SF (internal). Further, BSI and SF (internal) help firms to manage SCC (external) effectively that in turn improve operational performance.

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Section: Discussionmentioning

confidence: 99%

Section: Theoretical Implicationsmentioning

confidence: 99%

The interplay of integration, flexibility and coordination: a dynamic capability view to responding environmental uncertainty

Rehman

Jajja

2022

IJOPM

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“…Planning nervousness is a term that has existed in research [10]. In this sense, planning nervousness can be defined as the counterpart to planning stability, which is defined as the situation where plans do not change and equal the actual requirements imposed on the system [11].…”

Section: Planning Nervousnessmentioning

confidence: 99%

“…The similarities with nervousness are evident, as both the bullwhip effect and planning nervousness result from uncertainty generated by actions and policies applied within the planning system. However, when relating planning nervousness and the bullwhip effect, only the horizontal propagation of nervousness is considered, even though planning nervousness propagates both horizontally in the supply chain and vertically through planning hierarchies and product structure levels [10] [12]. Therefore, planning nervousness is in this paper considered as the broadest applicable term for system and planning uncertainty, defined as instability of plans in terms of timing and quantities requiring frequent rescheduling activities.…”

Section: Planning Nervousnessmentioning

confidence: 99%

“…When the planning system does not reflect actual requirements on the operating system, humans are compelled to make manual adjustments in order not to damage customer service. However, such human planning adjustments and manipulations have actually proved to reinforce rather than mitigate planning nervousness, which creates a vicious circle of increased nervousness [10].…”

Section: Planning Nervousnessmentioning

confidence: 99%

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Planning Nervousness in Product Segmentation: Literature Review and Research Agenda

Andersen

Præstholm

Nielsen

et al. 2014

Progress in Pattern Recognition, Image Analysis, Computer Vision, and Applications

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Differentiated planning is one of the means for today's companies to accommodate the increasing needs for product variety, delivery responsiveness, and cost-efficiency. Even though, product segmentation is the foundation for such planning, planning nervousness has not yet been addressed from this perspective. This paper seeks to establish a relation between planning nervousness and segmentation by analyzing the current body of literature with the objective of identifying overlaps between the two areas. The literature characteristics are assessed and directions for future research are provided.

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Evaluating Lead Time Standard Deviation with Regard to the Lead Time Syndrome

Knollmann

Windt

2012

Lecture Notes in Production Engineering

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The Planning Bullwhip: A Complex Dynamic Phenomenon in Hierarchical Systems

Cited by 5 publications

References 30 publications

The interplay of integration, flexibility and coordination: a dynamic capability view to responding environmental uncertainty

The interplay of integration, flexibility and coordination: a dynamic capability view to responding environmental uncertainty

Planning Nervousness in Product Segmentation: Literature Review and Research Agenda

Evaluating Lead Time Standard Deviation with Regard to the Lead Time Syndrome

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