In vertical relationships the potential for scale economy in manufacturing often calls for specialization and outsourcing. Specialization, however, depends critically on the stability of the task and contractual environment. In a highly uncertain environment the need for frequent mutual...

Companies routinely increase product variety in order to enhance competitiveness and grow sales. Unfortunately, increasing product variety creates operational challenges and results in higher inventory levels. The large number SKUs deteriorate decision quality and can introduce forecast bias -...