Industry Level:

The bullwhip effect is a distribution channel phenomenon in which demand forecasts yield supply chain inefficiencies. It refers to increasing swings in inventory in response to shifts in consumer demand as one moves further up the supply chain. This effect is very costly, particularly reflected at the upstream supply chain where fat bell-curve shape of standard deviation is shown. High cost is generally measured by excessive ordinary stock, excessive safety stock, excessive production capacity, bigger warehouse space, more workers, more working capital, and more cash flow restrained, and thus resulting in the drop of efficiency and productivity.

Bullwhip effect's graph

Standard Deviation's graph

Positioning iRIMAU will drastically mitigate the bullwhip effect which is computed by exhibiting the bell-curve shapes of standard deviation and it is controlled at the approximately slim shape of downstream supply chain. When this control is achieved, we will secure a groundbreaking significance by ways of attaining resources usage optimization and reducing wastage as well.

Bullwhip effect's graph with iRIMAU Solution

Standard Deviation's graph with iRIMAU Solution