Why lead time is considered one of causes of bullwhip effect

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Reference no: EM133353609

Question: From a supply chain management context, lead time is the latency between the initiation and completion of a process. For example, the lead time between the placement of an order and delivery of new cars by a given manufacturer might be between 2 weeks and 6 months, depending on various particularities. In your view, discuss why lead time is considered one of the causes of the bullwhip effect and also suggest strategies that can be adopted by supply chain managers in reducing lead-time.

Reference no: EM133353609

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