The Right Supply Chain for Your Product

<University>
<THE RIGHT SUPPLY CHAIN FOR YOU PRODUCT>
By
<Your Name>
<Date>
<Lecturer’s Name and Course Number>
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© <Your Name> 2017

Right product supply chain:
Process required:
To develop a significant supply-chain strategy, organisations need to identify the product type,
for which the company is looking to initiate an effective supply chain. It is observed that
business firms need to determine whether the selected product falls under the innovative or
functional category. After that, it is required to assess whether the supply chain of the company
is efficient or responsive to the specific market. This determination will help managers to craft an
effective supply chain strategy.
It has stated that some causes such as rationing along with storage gaming, updating of demand
forecast, price fluctuation and order batching are there result in bullwhip effect. The forecasting
of products is needed for scheduling the products, controlling inventory, capacity planning as
well as planning for the requirements of materials (Jaipuria and Mahapatra, 2014). Moreover, a
business organisation needs to monitor as well as control order batching to endure an active
process of the supply chain. The distributors along with the manufacturers periodically have
some unique and specific promotions such as discounts on price and quantity, rebates, coupons,
and much more.
Demand characteristics:
As stated earlier, organisations need to identify the product category (e.g. functional and
innovative). Hence, the demand of function can be predicted from the current market research.
Generally, the demand for useful products remain more than two years, and contribution margin
remains from 5% to 20%. On another hand, the demand for innovative products is hard to
predict. It is observed that demand of product lifecycle remains three months to one year. Also,
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© <Your Name> 2017