| (PREVIEW) Product and Process Design for Supply Chain Management Module SCM106 |
|||
|
|
SCM106: Product and Process Design for Supply Chain Management
© 2003 - 2010 Supply Chain Online, LLC
...An additional benefit of postponement, commonality, or universality can occur at a product's "end of life", when a product rollover or product roll takes place and a new product replaces the existing one, or simply during a new product launch. A global manufacturer may sell similar products in different continents (e.g., North America and Europe). Given that demand is always uncertain and forecast error is always present, the typical "ideal" product roll diagram pictured below almost never happens as desired: Instead, the more likely scenarios are either an excess or a stockout of the old product when the new product is released. Click the links in the preceding sentence or use the selection menu under the figure to compare these scenarios.... |