As different functions or departments in the company can have different goals, there are several possible conflicts of interest in the distribution chain. The reduction of variances related to supplier performance are usually responsibilities of the purchas- ing or sourcing functions and internal inventory control processes are the responsibility of the inventory management functions. But on the demand variance issues, there is no clear similar respon- sibility. Considering the supply chain dynamics, ordering beha- viors are major causes of e.g. Forrester or order batching effect (e.g. Van Aken, 2004), this aspect should be included in the expanded role of the distribution chain management. In the case company, the majority of the customers are internal making it easier to have an effect on the customer’s behavior, but in the usual case the demand type cannot be changed without consider- able amount of effort. Thus the minimization of the conflicting interests in the distribution chain is one of the key points in creating the environment for performance improvements. Even considering the possible challenges and conflicts, the expanded scope allows management to create a framework that simulta- neously takes into account the most important factors of the distribution chain.