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A number of strategies for reducing supply chain demand amplification and simultaneously improving customer service levels have been modelled and tested via dynamic simulation. To create an environment in which supply chain re‐design methodologies may be exploited, it is necessary to study the distribution of power and influence at individual echelons within the chain. Outlines current management practice in the electronics products industry and concludes by highlighting the steps needed to enhance total system dynamic performance. The likely benefits are estimated via dynamic simulation of the various phases of re‐engineering an international electronics products supply chain wherein huge improvements are predicted in the damping of upstream order patterns.
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