Supply Chain Bullwhip Effect De-Noising Using Wavelet Transform

Bullwhip effect was inherent in the supply chain system, and it was impossible to eliminate completely, but its risk could be controlled by exploring a lot of effective ways. In this paper, wavelet transform technology was used to deal with the "Burr" (Noise) of bullwhip effect nominal cycle, and the part of high-frequency was filtered, the details of wave peak and trough were retained. All of these can provide a reference for the decision-making of bullwhip effect control and supply chain management. Finally, through analysis a supply chain example, the de-noising market demand information is got, the effectiveness and feasibilities of wavelet transform method is verified.