Bullwhip Effect

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Definition: Bullwhip Effect

Bullwhip Effect
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Full Definition of Bullwhip Effect

The unexpected distortion of the supply chain caused by demand oscillations that can have a negative effect on business performance, such as inventory disruptions, quality control problems, diminished customer service, and increased costs of materials and manpower. For example a successful sales promotion can reverberate up the supply chain to disrupt inventory, production and supply ordering.

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Bullwhip Effect. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 23, 2024 https://payrollheaven.com/define/bullwhip-effect/.
Chicago Manual of Style (CMS):
Bullwhip Effect. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/bullwhip-effect/ (accessed: April 23, 2024).
American Psychological Association (APA):
Bullwhip Effect. PayrollHeaven.com. Retrieved April 23, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/bullwhip-effect/

Definition Sources

Definitions for Bullwhip Effect are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.