Which of the Following Is True of Order Amplification

question 4

Multiple Choice

Which of the following is true of order amplification

• A) Order amplification in the supply chain leads to the bullwhip effect.
• B) Large order sizes can help manage order amplification.
• C) Order amplification decreases as one moves back up the supply chain away from the retail customer.
• D) Increasing price fluctuations can help manage order amplification.

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Definitions:

Negatively Skewed

Describes a distribution of data where the tail is longer on the left side of the distribution's peak, indicating most values are high and few are low.

Tail

The far end portions of a distribution curve where the likelihood of values occurring becomes smaller; in skewed distributions, one tail may be longer than the other.

Negative Skew

A distribution that is skewed to the left, indicating that the tail on the left side is longer or fatter than the right side and the mean is typically less than the median.

Distribution

Refers to the way values in a data set are spread or dispersed, indicating the pattern of variations within the data.