This week you will gain some practical experience using a simulation. You will need to go to https://www.merlot.org/merlot/viewAssignment.htm?id=1362893.
Perform this simulation (either the novice or the expert version) for 25 weeks (in the simulation) OR until you reach equilibrium. (Note that you can do this simulation in one night, and I recommend that you do because the simulation will reset after a period of time. The weeks is just how many times you place inputs because it takes a week to get the inventory in to make the product.) Record, in table format (that you create in Excel), your new customer orders (each week for the 25 weeks or until you reach equilibrium), your excess inventory (each week for 25 weeks or until you reach equilibrium) and the number of raw materials you ordered that week for the next. (Note you can include other items in the table if you wish. However, these numbers should help you to analyze what you did and the effect of what you did for the week in comparison to demand.) Upon completing the simulation, write a paper discussing what you learned from the simulation. Be sure to discuss the impact of the bullwhip effect in your discussion, what inventory shortages you experienced along with the lost orders experienced, whether you had more inventory than orders, how you made your decision to adjust your production/raw materials to meet customer demand, and what challenges and problems you experienced. The paper should be written in APA form. Additionally, the paper should be a minimum of two pages, excluding the table and references (if you use references). Submit the assignment to Canvas by midnight on Sunday of week 2. Contact me with any questions. Note that everyone’s results will be different, so do not work together for your inputs.
- Date Added to MERLOT:
- February 22, 2020
- Created by: