Beer Game

Drop From week 8 to 11, a decline in the inventory due to lower order placed and increasing incoming order

Peak At week 12 order placed reached the highest point due to the incoming order is increasing and peaked at week 13 and on the other hand inventory decrease during the previous weeks, resulting in backlog reached its highest point

Change of direction Starting from week 22, the inventory begins to move upwards due to order placed which fluctuate following the incoming order

FACTORY MIND MAP Order Placed is affected by incoming order, inventory and shipping delay

Order Placed

Order Shipped is affected by Incoming Order and Inventory Inventory is affected by incoming order and shipping delay

Shipping Delay

Inventory

Incoming Order

Cost is affected by backlog and inventory

Order Shipped Backlog

Backlog is affected by order incoming order and order shipped

Cost

Drop When order placed on the retailer down, order placed belongs to wholesalers and distributors also followed down, but not with the factory

Peak At week 12 order placed of Wholesaler reached the highest point and followed by distributor and factory

ORDER

RETAILER $

ORDER

WHOLESALER GOODS

$

ORDER

DISTRIBUTOR GOODS

$ 195.5

FACTORY GOODS

$ 188