Revista de negocios y asuntos financieros

Process Control, the Bull Whip Effect and the Supply Chain

Abstract

Jeffrey E Jarrett

The purpose is to introduce the demand for statistical quality control practice in the supply chain environment. We show both the need and application of these measures, especially the need for multivariate quality concepts to reduce the costs of operating supply chains, to control the flow throughout the supply chain and in the dynamic behavior of supply chains to utilize concepts associated with multivariate methods and auto correlated variables. We note that the quality output is as important as the “bull whip” efficiency in the supply chain.