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5. Conclusion:From the analysis of this paper, we can conclude that there is a considerable amount of increase in the performance of the supply chain in the company due to VMI and CPFR, under both the stationary and non-stationary customer demands. But the performance under CPFR was found to be better when compared to VMI when there is uncertainty in the demand. It was found that the CPFR produces lower supply chain cost when compared to VMI. Thus, the managers are recommended to invest in the CPFR rather than VMI. This was proved using comprehensive simulation experiments and statistical analysis of the outputs obtained.The summary of the results obtained can be broadly classified into 3 parts:Firstly, we can see that the benefits from the CPFR is always more than the benefits obtained from VMI in all cases. This is because the CPFR lowers the supply chain cost when compared to VMI and at the same time giving higher customer service.Secondly, with the help of simulation output analysis, we observe that the performance increase of the supply chain depends on 3 factors, which are given as follows:Capacity tightness of the plant – When Lead time is short, and capacity is tight, the gap between the performance improvements produced due to CPFR and VMI are not significant. Thus, it is indicated that the investment in CPFR is to be considered more closely under the conditions where the lead time is short.Replenishment lead times – Shorter lead time means it’s better to invest in VMI. The benefits of switching to CPFR is negligible. Also, the Uncertainty in market demand – There is only a slight decrease in the performance of the CPFR under demand uncertainty.Performance of VMI- Thirdly, we observe that there is substantial decrease in the performance of the VMI, as the uncertainty of demand increases, but in the case of CPFR, there is only a small decrease in the performance with regards to changes in demand. Therefore, we can conclude that, the customer demand plays a major role while determining the performance of the VMI and CPFR. This is because the supply chain forecasting works better in CPFR through joint forecasting and inventory planning.Limitations:There are some limitations in this study and some assumptions which were considered, they are given as follows:The supply chain that we considered was a serial structure with only one member at each echelon. If there are multiple links and more than one member at the echelon, then this theory fails. We also assume that the members of the supply chain apply order up to policies in order to design their inventory system. Also, the cost structure we used in this study represents only some special cases and not for any general case.

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