September 2015
Beginner to intermediate
336 pages
7h 44m
English
book
The Best Thinking in Business Analytics from the Decision Sciences Institute
by Decision Sciences Institute, Merrill Warkentin
Content preview from The Best Thinking in Business Analytics from the Decision Sciences Institute
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11. Coordinating the Supply Chain Using Service-Level and Profit-Sharing Contracts
—Xun Xu, California State University, Stanislaus
Abstract
We discuss the coordination mechanism in a three-level supply chain that includes one supplier, one distributor, and two retailers, using both a service-level contract and a profit-sharing contract. Via numerical studies, we find that both the individual service-level contract and profit-sharing contract can achieve more profits for the whole supply chain. The profits can be further enhanced if both contracts are used simultaneously. The incentive of stakeholders to use a profit-sharing contract depends on various service levels. Our findings help stakeholders in the supply chain use centralized decision ...
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I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.