Asked by Tonii White on Jun 28, 2024

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Discuss the differences of push and pull supply chain processes.

Push

A type of supply chain management strategy where production is based on forecasted demand, pushing products onto the market regardless of current demand levels.

Pull

A supply chain management strategy where production is based on customer demand rather than forecasting.

Supply Chain Processes

The series of steps involved in producing and distributing goods, from raw materials to the delivery of finished products to consumers.

  • Recognize and elucidate the push and pull mechanisms within the supply chain.
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Leann McaulayJul 02, 2024
Final Answer :
Processes in a supply chain fall into one of two categories depending on the timing of their execution relative to end customer demand.With pull processes,execution is initiated in response to a customer order.With push processes,execution is initiated in anticipation of customer orders based on a forecast.Pull processes may also be referred to as reactive processes because they react to customer demand.Push processes may also be referred to as speculative processes because they respond to speculated (or forecasted)rather than actual demand.The push/pull boundary in a supply chain separates push processes from pull processes.Push processes operate in an uncertain environment because customer demand is not yet known.Pull processes operate in an environment in which customer demand is known.They are,however,often constrained by inventory and capacity decisions that were made in the push phase.