Revisiting the bullwhip effect: how can AI smoothen the bullwhip phenomenon?

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Weisz, Eric
Herold, David M
Kummer, Sebastian
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2023
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Abstract

Purpose: Although scholars argue that artificial intelligence (AI) represents a tool to potentially smoothen the bullwhip effect in the supply chain, only little research has examined this phenomenon. In this article, the authors conceptualize a framework that allows for a more structured management approach to examine the bullwhip effect using AI. In addition, the authors conduct a systematic literature review of this current status of how management can use AI to reduce the bullwhip effect and locate opportunities for future research. Design/methodology/approach: Guided by the systematic literature review approach from Durach et al. (2017), the authors review and analyze key attributes and characteristics of both AI and the bullwhip effect from a management perspective. Findings: The authors' findings reveal that literature examining how management can use AI to smoothen the bullwhip effect is a rather under-researched area that provides an abundance of research avenues. Based on identified AI capabilities, the authors propose three key management pillars that form the basis of the authors' Bullwhip-Smoothing-Framework (BSF): (1) digital skills, (2) leadership and (3) collaboration. The authors also critically assess current research efforts and offer suggestions for future research. Originality/value: By providing a structured management approach to examine the link between AI and the bullwhip phenomena, this study offers scholars and managers a foundation for the advancement of theorizing how to smoothen the bullwhip effect along the supply chain.

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The International Journal of Logistics Management

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© Eric Weisz, David M. Herold and Sebastian Kummer. Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and noncommercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcode

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This publication has been entered in Griffith Research Online as an advanced online version.

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Subject

Supply chains

Artificial intelligence

Social Sciences

Management

Business & Economics

Bullwhip effect

Supply chain

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Weisz, E; Herold, DM; Kummer, S, Revisiting the bullwhip effect: how can AI smoothen the bullwhip phenomenon?, The International Journal of Logistics Management, 2023

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