| Article ID: | iaor20051655 |
| Country: | Netherlands |
| Volume: | 33 |
| Issue: | 3 |
| Start Page Number: | 289 |
| End Page Number: | 294 |
| Publication Date: | May 2005 |
| Journal: | Operations Research Letters |
| Authors: | Zhang Xiaolong |
| Keywords: | forecasting: applications |
This paper considers an inventory setting in which the historical data used for demand forecasting are delayed. When the replenishment is controlled via an order-up-to policy, we show that such delays reduce the variability of the order history and dampen the bullwhip effect. We discuss the intuition behind this result.