The push/pull view is based on what factor?

The push/pull view in supply chain management differentiates between the two types of supply chain strategies: push and pull. The core factor that underpins this view is the anticipation of customer orders. In a push system, products are produced based on forecasts and pushed through the supply chain to meet anticipated demand. In contrast, a pull system relies on actual customer demand, meaning production and distribution begin only after an order is received.

By focusing on anticipation of customer orders, businesses can manage inventory levels more effectively and align production schedules with real market demands. This helps in minimizing excess inventory and reducing costs associated with overproduction. Understanding this concept is crucial for supply chain professionals because it directly influences strategic decisions about how to manage supply and demand effectively. The anticipation of demand plays a central role in choosing the right approach to meet customer needs while maintaining operational efficiency.