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Whether it is going to work, how effective it can be and what kind of problems can arise can be based only on experience with it. So far the supply chain models have been extremely successful as they help to save a lot of money for businesses world wide. However, now several case studies are being put into it to study its problems and back logs.
Supply chain models can actually run into problems with legacy, quality of products, and safety pf products. These are some of the most common problems that have come up so far.
Recently a case study was done on the SAB Miller, which is a brewing giant worth $24 billion, and the problems it ran into with its supply chain model. There was a huge gap between production and supply and many times the product never reached the end user and there were shortages. The result when analyzed showed huge deficits in the supply chain. Also, there was a peak period for the industry when the shortage existed. It became difficult to analyze whether the peak period came first or the shortage came first. However, after thorough analyzing of the supply chain it was later concluded that both were parallel.
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