Case Study: Infineon achieves better supply chain resilience and bullwhip effect reduction with AnyLogic

Supply Chain Forecasting and Bullwhip Effect Evaluation Using Simulation Software

Infineon, a global semiconductor manufacturer, was struggling with severe demand volatility and bullwhip effects during the COVID-19 pandemic, which led to excess inventory during the downturn and chip shortages as automotive demand rebounded. To better understand these supply chain disruptions and improve resilience, Infineon turned to AnyLogic simulation software.

Using AnyLogic, Infineon’s engineers built a system dynamics model of a four-echelon semiconductor supply chain with historical data and scenario analysis to test different recovery patterns. The model showed demand amplification of up to 40% upstream, and sensitivity analysis indicated that better information flow and collaboration could significantly reduce backlog and improve performance; Infineon also developed a VMI KPI improvement concept to help trace root causes and strengthen communication across the supply chain.

Infineon