reference. System Dynamics model for Beer Game (R,Q) Policy
4-layer supply chain, each player runs (r,Q) inventory policy. If we try to minimize the backlog of each player, we need more orders as we move upstream. aka bullwhip effect!
What's missing:
information & delivery delay
raw material capacity restriction (to test the reverse bullwhip effect)
how to optimize the order quantities of the whole supply chain?
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