Abstract

Different echelons (companies) of a Supply Chain (SC) often make decisions that create inefficiencies in the SC. For example, sales promotions and trade deals offered by manufacturers encourage distributors to purchase large quantities in advance, thereby generating excess inventories which create bullwhip effects. This paper presents best practices that enable supply chains in two different business and cultural setups (Indonesia and France) to neutralise these inefficiencies in order to maintain a high level of efficiency, flexibility and responsiveness. A comparative analysis of the two cases underlines the need for managers to adapt their business models by adding a local touch.

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