The main purpose of this research was to evaluate the impact of major strategic production and distribution decisions on retail performance by quantifying the primary and secondary effects produced by push/pull and decentralization/centralization decisions on indicators of retail service level, average inventory, frequency of shipments and stockouts. To this end, ARENA simulations were made of the operation of a manufacturer, distribution center and retail chain. The results of these simulations were subjected to a multiple analysis of covariance (MANCOVA), which revealed apparent contradictions between strategic positions in industrial operations and retail performance, i.e., a higher retail performance depends on non-lean industrial operations.
industrial operations; strategic positioning; simulation; retail market