Bilateral dependency and supplier performance ambiguity in supply chain contracting: Evidence from the railroad industry

2020 ◽  
Vol 67 (1) ◽  
pp. 49-70
Author(s):  
Akhil Bhardwaj ◽  
Mikko Ketokivi
Author(s):  
Shih-Yuan Wang ◽  
Sheng-Lin Chang ◽  
Reay-Chen Wang

Supply chain management is a new and evolving paradigm for enterprises to cope with international competition and to improve global logistics efficiency. The suppliers’ performances affect not only supply chain execution results but also the profit capability and business survivability. However, suppliers’ performance assessment always involves a large dimension of supplier behaviors. Information on supplier behaviors is often difficult to be accurately demonstrated as quantitative data. For this reason, the study employs a 2-tuple linguistic variable to perform the initial evaluation and final assessment while keeping track of both linguistic information and data, which can avoid a tied result. Additionally, the modified linguistic ordered weighted averaging (M-LOWA) operator with maximum entropy is used to derive the maximum aggregation value under the current business strategy to reflect on the criteria. The focal company can then rapidly rely on the assessment results to represent the performance of suppliers and provide integrated information to decision makers. This study draws the complete framework for the issue of supplier performance assessment without limitations on categories of variables and scales.


Author(s):  
Ningning Wang ◽  
Jibao Gu ◽  
Qinglong Gou ◽  
Jinfeng Yue

The supply chain contracting has traditionally been based on the profit maximization assumption. Recent research has shown that some behavior factors may influence the decision making of supply chain members. The authors utilize a linear utility function to depict such behavior factors and incorporate these into the newsvendor model. The linear utility function provides sufficient flexibility to better capture people's various behavior factors. By supposing the agents are concerned with behavior factors, the authors first investigate how the factors affect the supply chain under wholesale price contract, and find that they do not influence coordination condition, but can adjust the distribution of profits. Then they extend their study to other four common contracts with a similar method and systematically demonstrate that the behavior of agents in such a linear setting has no effect on the conditions of coordinating supply chain.


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