Lee et al. (1997b) identify four major causes the bullwhip effect, namely demand forecast updating, order batching, price fluctuation, and rationing and shortage gaming. The bullwhip effect can be mitigated by reduced lead times, revision of reordering procedures, limitations of price fluctuations, and theintegration of planning and performance measurement (Lee and Billington, 1992; Towill, 1996; Fransoo and Wouters, 2000). Baljko (1999) writes that the bullwhip effect in the supply chain may be eliminated through measures such as: shared knowledge with suppliers and customers to better gauge demand, co-operation with supply chain partners to determine what information is causing an overreaction, and usage of internet-enabled technology and the application of the web to speed communications and improve response time. Lee et al. (1997a) develop a typology, based upon the causes of the bullwhip effect and the remedies to discuss waysof controlling the bullwhip effect. Chen et al. (2000) illustrate that the bullwhip effect can in part be decreased by centralising demand information. McCullen and Towill (2001) show from supply chain modelling and dynamic simulation show four material flow principles, which can be used to reduce the bullwhip effect, namely control system, time compression, information transparency, and echelon elimination. Kelle and Milne (1999) conclude that the negative effect of high variability and uncertainty can be decreased by small frequent orders. Metiers (1997) indicate that the importance of the bullwhip effect to a company differs greatly depending uponthe specific business context. Fransoo and Wouters (2000) introduce a method to document and define various ways of measuringthe bullwhip effect. Yu et al. (2001) argue that supply chain partnerships can mitigate deficiencies associated with decentralised control and reduce the bullwhip effect. Xu et al. (2001) show that the bullwhip effect of order releases and amplifications of safety stock increase within the supply chain even when level demand patterns with no trend and seasonality are stressed.