Anticipatory Model

In: Business and Management

Submitted By qwertyuiop12
Words 1386
Pages 6
1.) In an Anticipatory Model the manufacturer produces products based on forecasts in the market, and the distributers and retailers purchase their inventory based on forecasts and promotional plans. This causes differences between the firm’s original plans and what they actually ended up doing, because the forecasts were usually wrong. Most of the work in an Anticipatory Model is done in anticipation of future events, which made the model highly risky for businesses. The Responsive Business Model however seeks to get away from the idea of relying on forecasts, and rely on planning and exchanging information among companies in the supply chain. This Responsive Model has a different sequence of events that move business. For example, the Responsive Model has selling as the first task where the Anticipatory Model has forecasting as the first task. One of the main differences as to why the Responsive Model is so popular among supply chain strategy is the ability it offers for customers to customize products on smaller orders. In traditional models like the Anticipatory Model, the customer had no choice or power and only had the option of buying or not buying. The Responsive Model gives more power to the customer, because it is allowing them to make decisions.

2.) The similarity between procurement, manufacturing support, and customer accommodation is all three make up the logistical operations of a business. These three components are the combined logistical support units of an enterprise. However, each of these three parts to logistical operations has a different objective for the company. Procurement is basically purchasing and arranging the materials or finished inventory into plants, warehouse, or retail stores. The primary objective of procurement is to support manufacturing or organizations by purchasing at the lowest costs. Manufacturing production are the…...

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