The bullwhip effect is considered as a phenomenon that provides the instabilities and fluctuations within the products and supplier orders that are place throughout in different stages of the supply chain. It can be said that it helps in growing or waning customer demand that directly impacts a business’s inventory. Most of the businesses try to attempt to forecast demand that requires proper amount of raw materials and resources that are needed in order to meet customer demand in an efficient and timely manner. Most of the variables that are associated with lead time which includes delays in the manufacturing, transmitting information and shipping throughout the supply chain can help in influencing the bullwhip effect. Some of the other important causes include the management and the human behavior.