This paper discusses how variations in weather affect demand and supply chain performance in sport goods. The study includes several brands differing in supply chain structure, product variety and seasonality. Using longitudinal data on supply chain transactions, weather conditions are analysed. The underlying hypothesis is that changes in weather affect demand, which in turn impacts supply chain performance, and this hypothesis was supported by the results. In all, weather affects demand, and lower volumes do not generally improve supply chain performance, but larger volumes can make it worse.
The authors suggest that well-managed supply chains should prepare for demand fluctuations caused by weather changes. Weekly weather forecasts could be used when planning operations for product families to improve supply chain performance and ensure delays are minimized.
CITE: Appelqvist, P., Babongo, F., Chavez-Demoulin, V., Hameri, A., Niemi, T. (2016). Weather and supply chain performance in sport goods distribution. International Journal of Retail & Distribution Management, 44(2), 178-202.
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