Answers
push- consumer demand is known and expected
Push/Pull
pull-activated by consumer demand
when a company moves manufacturing out of its home
offshoring
country to another country
when a company contracts an outside firm to perform
outsourcing
services that could be or were performed in house
a type of offshoring where the location of the manufactur-
near sourcing
ing facility is relatively close to the location of the consumer
rerouting of supply chains yo countries perceived as po-
friend shoring
litically and economically safe or low risk
phenomenon in supply chain management where small
fluctuations in demand at the consumer level can lead to
Bullwhip effect
progressively larger fluctuations in demand further up the
supply chain.
order batching, price fluctuations, rationing, shortage
causes of bullwhip
gaming
due to shortage buyer only gets partial order from suppli-
Rationing
er
retailers artificially inflate order sizes to counteract ra-
shortage gaming
tioning
push the standardized portions of manufacturing, delay
postponement the final assembly of the end item, pull only the cus-
tomized options offered to customers
a company that produces goods in behalf of another or-
contract manufacturing
ganization
contractor that helps companies organize the eflcient and
freight forwarder effective shipment of goods from one point in the supply