Supply Chain Coordination with Price-Sensitive Demand Under Risks of Demand and Supply Disruptions

2011 ◽  
Vol 2 (1) ◽  
pp. 29-38 ◽  
Author(s):  
B. C. Giri ◽  
B. Roy
2013 ◽  
Vol 2013 ◽  
pp. 1-9 ◽  
Author(s):  
Sun Guohua

This paper develops a dynamic model in a one-supplier-one-retailer fresh agricultural product supply chain that experiences supply disruptions during the planning horizon. The optimal solutions in the centralized and decentralized supply chains are studied. It is found that the retailer’s optimal order quantity and the maximum total supply chain profit in the decentralized supply chain with wholesale price contract are less than that in the centralized supply chain. A two-part tariff contract is proposed to coordinate the decentralized supply chain with which the maximum profit can be achieved. It is found that the optimal wholesale price should be a decreasing piecewise function of the final output. To ensure that the supplier and the retailer both have incentives to accept the coordination contract, a lump-sum fee is offered. The interval of lump-sum fee is given leaving both the supplier and the retailer better off with the two-part tariff contract.


Author(s):  
Chunyi Ji ◽  
Xiangxiang Liu

Perishable and short-life products can be seen everywhere in life. Due to the particularity of these products, they are more complicated in supply chain management. This paper studies whether the two-part tariff and ZRS contract can achieve the purpose of reducing risks and coordinating supply chain. We assume that market demand and supplier yield are uncertain, and we use game theory and probability distribution for research. The research results show that when the information is asymmetric, the manufacturer always ignore the demand forecast information provided by the retailer under the wholesale price contract. When the demand is uncertain, regardless of whether the information is symmetric or asymmetric, the two-part tariff contract and the ZRS contract can coordinate the supply chain and achieve maximum profit. When the retailer's degree of risk aversion is high, the ZRS contract is better than the two-part tariff, which can reduce the risk of retailers and achieve the purpose of coordinating the supply chain. When the supply is uncertain, the manufacturer can provide the supplier with a risk-sharing contract, including the return price and the sharing ratio that meet certain constraints. Such a contract can effectively reduce the supplier's risk and realize supply chain coordination.


2021 ◽  
pp. 109634802199679
Author(s):  
Xiaofeng Zhao ◽  
Jianrong Hou

Tourism supply chain management has become an important research topic as individual firms no longer compete as isolated entities but rather as supply chains in the tourism industry. Despite the evidence that benefits can be gained to improve profitability, competitiveness, and customer satisfaction, the research on how to manage the tourism supply chain is very limited. This research contributes to the literature by applying the theory of constraints (TOC) with systems thinking to tourism supply chain management. It proposes that the key issue in tourism supply chain management is the coordination of business activities and the TOC with systems thinking can effectively support tourism supply chain coordination of the various links and processes. The article examines the TOC performance measures and the drum–buffer–rope model in the context of tourism management and applies the focusing process of the TOC as a continuous improvement approach for tourism supply chain management. The research findings suggest that, given modifications to the TOC terminology and the principles, the TOC principles can work as an excellent approach to facilitate the tourism supply chain management.


2015 ◽  
Vol 2015 ◽  
pp. 1-9 ◽  
Author(s):  
Huan Zhang ◽  
Yang Liu ◽  
Jingsi Huang

Supply chain coordination models are developed in a two-echelon supply chain with double sided disruptions. In a supply chain system, the supplier may suffer from the product cost disruption and the retailer suffers from the demand disruption simultaneously. The purpose of this study is to design proper supply chain contracts, under which the supply chain with double sided disruption can be coordinated. Firstly, the centralized decision-making models are applied to find the optimal price and quantity under three cases as the baseline. The different cases are divided by the different relationship between the product cost disruption and the demand disruption. Secondly, two different types of contracts are introduced to coordinate the whole supply chain. One is all-unit wholesale quantity discount policy (AQDP) contract, and the other one is capacitated linear pricing policy (CLPP) contract. And it is found out that the gap between the demand disruption and the product cost disruption is the key factor to influence the supply chain coordination. Some numerical examples and sensitivity analysis are given to illustrate the models. The AQDP contracts are listed out under different cases to show how to use it under double sided disruptions.


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