The beer game that teaches the supply-chain bullwhip effect : Planet Money : The Indicator from Planet Money The Indicator team plays a beer game to understand how the bullwhip effect tangles supply chains. And no, it's not beer pong.

Keep calm, it's just the bullwhip effect

Keep calm, it’s just the bullwhip effect

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PATRICK HERTZOG/AFP via Getty Images
Returnable glass bottles filled with beer sit on a production line at the Meteor brewery in Hochfelden, eastern France, on April 30, 2019.
PATRICK HERTZOG/AFP via Getty Images

One question everyone wants to answer is how do we fix the broken supply chain?

That's why logistics expert Mathias Le Scaon created The Beergame App. Based on the Beer Distribution Game by the late MIT professor Jay Forrester, The Beergame App allows players to role-play as a retailer, wholesaler, distributor or brewer.

While each person plays an equally important role in making sure the beer gets to customers, miscommunication between players often turns the game into a screaming match as supply-chain issues steadily increase the further the beer moves from the customer. Enter: The bullwhip effect.

Today on the show, the Indicator team puts their teamwork skills to the test. Will they be able to meet the demand of their beer customers?

Music by Drop Electric. Find us: Twitter / Facebook / Newsletter.

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