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Play The Beer Game Through Beer Game Online Playing Link Under Beer

Play the beer game through “Beer Game Online Playing Link" under Beer Game folder. Create a word file (2-page, double space) and answer the following questions: 1. Play "Novice" different level at least twice, and write down in which week you achieve balance in these two rounds. See the attached image. How did you try to improve that. (Feel free to play multiple rounds if you want, the best I saw is a student achieve balance in WEEK 5) 2. From your understanding, what is beer game? What is the objective for beer game? 3. Think about the whole supply chain, what you can do to improve performance of beer game as a whole chain instead of one member. Beer game example 1&2: Beer game one link:

Paper For Above instruction

The Beer Game is a classic supply chain simulation designed to illustrate the complexities and challenges inherent in managing supply chains. Developed in the 1960s by Jay Forrester at MIT's Sloan School of Management, the game demonstrates how individual decisions and lack of coordination can lead to inefficiencies, such as the infamous "bullwhip effect." In this paper, I will discuss my experience playing the Beer Game, analyze its objectives, and propose strategies for improving overall supply chain performance.

My experience with the Beer Game involved playing multiple rounds at the "Novice" level, aiming to understand the dynamics and identify optimal points for achieving supply chain balance. In two separate trials, I observed that I achieved the equilibrium point—or 'balance'—by Week 5. In my first attempt, it took until Week 6 to reach stability, characterized by minimal fluctuations in orders and inventory levels. To improve performance, I employed several strategies, including adjusting order quantities proactively based on anticipated demand trends, reducing the lag in order response, and enhancing communication with other supply chain members. These tactics helped streamline the flow of goods and mitigate the amplifying effects of supply and demand fluctuations.

Understanding the Beer Game's core is essential: it is a simulation aimed at demonstrating the effects of delays, miscommunication, and lack of coordination in a supply chain. The game involves four roles—retailer, wholesaler, distributor, and factory—each making ordering decisions to meet customer demand. The primary objective is to minimize total costs, which include inventory holding costs and backorder costs, while satisfying customer demand. The challenge lies in managing the lead times and information delays that often cause overreaction, excess inventory, or stockouts, ultimately reducing overall supply chain efficiency.

To improve performance across the entire supply chain, instead of focusing solely on individual members, a coordinated and information-sharing approach is essential. Transparency about inventory levels and future demand forecasts allows each member to make more informed decisions, reducing the bullwhip effect. Implementing collaborative planning, forecasting, and replenishment (CPFR) systems can significantly enhance synchronization across the chain. Additionally, adopting flexible policies such as reducing order batch sizes and lead times can mitigate variability. Encouraging communication and trust among members ensures that decisions are made considering the supply chain as a whole rather than isolated segments, leading to improved overall efficiency, lower costs, and better customer service.

References

• Forrester, J. W. (1961). Industrial Dynamics. MIT Press.
• Lee, H. L., Padmanabhan, V., & Whang, S. (1997). The bullwhip effect in supply chains. Sloan Management Review, 38(3), 93-102.
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• Simchi-Levi, D., Kaminsky, P., & Simchi-Levi, E. (2008). Designing and Managing the Supply Chain: Concepts, Strategies, and Case Studies. McGraw-Hill.
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• Chopra, S., & Meindl, P. (2016). Supply Chain Management: Strategy, Planning, and Operation. Pearson.
• Chen, F., Drezner, Z., Ryan, J. K., & Simchi-Levi, D. (2000). Quantifying the bullwhip effect in a simple supply chain: The impact of forecasting, lead times, and information. Management Science, 46(3), 436-443.
• Mentzer, J. T. (2004). Fundamentals of Supply Chain Management. Sage Publications.
• Wynstra, F., Spring, S., & Schoormans, J. (2010). Supplier integration in customized product development: The impact of organizational processes. Journal of Product Innovation Management, 27(5), 759-773.
• Christopher, M. (2016). Logistics & Supply Chain Management. Pearson UK.