scholarly journals Price and capacity strategies in the express delivery supply chain advanced payment, penalty or time insurance contracts

2021 ◽  
Author(s):  
kun wang
Keyword(s):  
Supply Chain ◽  
Unit Cost ◽  
Wholesale Price ◽  
Insurance Contract ◽  
Supply Chain Performance ◽  
Insurance Contracts ◽  
Advance Payment ◽  
Business To Consumer ◽  
Improve Supply Chain ◽  
Express Delivery

In the Business to Consumer (B2C) environment, it is important to alleviate the mismatch between delivery capacity and demand in the express delivery supply chain. To do this, we propose three contracts to improve supply chain performance: the advanced payment contract, penalty contract, and time insurance contract. To assess these contracts, we considered the supply chain of one e-retailer and one express delivery provider. We discussed which contract is better for the supply chain partners when the three contracts can coordinate the supply chain. We found that when its unit cost of delayed orders is lower, the e-retailer will choose the advance payment contract among three contracts. When its unit cost of delayed orders is medium, the e-retailer will opt for the time insurance contract. When its unit cost of delayed orders is high, the e-retailer will not choose the advanced payment contract. In this case, whether the e-retailer chooses the time insurance contract and penalty contract depends on the value of wholesale price.

scholarly journals Is Supply Chain a complex system?

2018 ◽  
Vol 200 ◽  
pp. 00018
Author(s):  
Safaa Raaidi ◽  
Imane Bouhaddou ◽  
Asmaa Benghabrit
Keyword(s):  
Complex System ◽  
Supply Chain ◽  
Supply Chain Performance ◽  
Financial Flows ◽  
Material Information ◽  
Ultimate Purpose ◽  
Improve Supply Chain

Nowadays, industries are continually looking to implement new subsidiaries in different continents, in order to better fulfill their customers’ needs, generate the best products in the shortest time and cheaper than their competitors. Achieving these goals is no longer related to the company itself, but to all partners in the supply chain. This justifies the need for efficient and judicious management of the whole supply chain, through the collective intervention of all its actors. Needless to say, a supply chain is a system made up of a set of suppliers, producers, subcontractors, retailers, wholesalers and customers, between whom material, information and financial flows are exchanged. Management of these flows is becoming increasingly difficult and constitutes the main source of the supply chain complexity. In order to alleviate this problem and improve supply chain performance, it is necessary to model it, taking into consideration its characteristics, which make it a complex system. Hence, the scoop of this paper is to prove that supply chain is a complex system, by highlighting its most relevant characteristics that make it such a system. Complex means what is braided together or woven together. If we separate the elements, we get acquaintance elements, but we lose their interactions. Within this trend, our contribution subscribes with its ultimate purpose modelling supply chain as complex system.

Building Ambidextrous Supply Chains in SMEs

2017 ◽  
Vol 10 (4) ◽  
pp. 80-100 ◽  
Author(s):  
Mohd. Nishat Faisal ◽  
Faisal Talib
Keyword(s):  
Supply Chain ◽  
Large Scale ◽  
Supply Chain Performance ◽  
Exploration And Exploitation ◽  
Supply Chain Strategy ◽  
Generic Questionnaire ◽  
Relationship Structure ◽  
Cross Reference ◽  
Improve Supply Chain

Ambidexterity involves developing competencies to excel simultaneously on the exploration and exploitation dimensions. Few studies in literature discuss ambidexterity in a supply chain context. The research presented in this paper highlights issues that act as barriers and deserve attention in implementing ambidextrous supply chain strategy in SMEs. To develop a relationship structure existing among these variables, Interpretive Structural Modelling (ISM) technique is used. Further, variables' impact and dependency is calculated using Impact Matrix Cross-Reference Multiplication Applied to a Classification (MICMAC) approach. ISM algorithm proves to be a better tool as compared to a large-scale generic questionnaire based study due to its iterative nature that helps to bring forth issues that are difficult to identify otherwise. SMEs in India under tremendous pressure to excel on exploration and exploitation dimensions would be the major beneficiaries of this study. The hierarchy based structure and the classification of factors based on their impact and dependence, will enhance the understanding of SMEs mangers/owners to improve supply chain performance by eliminating barriers and thereby implementing ambidextrous strategy across the supply chain.

Measuring visibility to improve supply chain performance: a quantitative approach

2010 ◽  
Vol 17 (4) ◽  
pp. 593-615 ◽  
Author(s):  
Maria Caridi ◽  
Luca Crippa ◽  
Alessandro Perego ◽  
Andrea Sianesi ◽  
Angela Tumino
Keyword(s):  
Supply Chain ◽  
Quantitative Approach ◽  
Supply Chain Performance ◽  
Improve Supply Chain

scholarly journals Supply Chain Performance with Target-Oriented Firms

2021 ◽  
Author(s):  
Lucy Gongtao Chen ◽  
Qinshen Tang
Keyword(s):  
Supply Chain ◽  
Wholesale Price ◽  
Strong Support ◽  
Problem Definition ◽  
Expected Profit ◽  
Trading Partner ◽  
Supply Chain Performance ◽  
Decentralized System ◽  
Outside Option ◽  
Risk Neutral

Problem definition: We study a supply chain in which a supplier sets the wholesale price and a retailer responds with an order quantity. Both of the two firms can be either risk-neutral—maximizing the expected profit—or target-oriented, which is to maximize her or his ability to reach a target profit. Academic/practical relevance: Our work not only sheds light on the benefit/loss of trading with target-oriented decision makers but also, adds new knowledge to the supply chain coordination literature. Methodology: We provide strong support for firms’ target-based preference and the linear target formation model through a survey as well as analyzing company data. With the firms’ target-oriented behavior evaluated by a CVaR-satisficing measure, we apply a game theoretical framework to investigate how the target-based preference affects supply chain performance. Results: A firm, be it a supplier or a retailer, is always hurt by its target-based preference but can benefit from its trading partner’s target-based preference. A risk-neutral supplier, for example, can sometimes reap the whole supply chain’s profit if the retailer is target-oriented, and a target-oriented supplier always performs better with a target-oriented retailer than a risk-neutral one. Furthermore, a target-oriented retailer and/or supplier can help alleviate the double-marginalization effect and with a specific target, can help the supply chain achieve the same efficiency level as in a risk-neutral centralized system, with just a wholesale price contract. Another important finding is that if both firms are target-oriented, then the supply chain can have a higher expected profit under a decentralized system than a centralized one. This contrasts with the case when both firms are risk-neutral. We also investigate the role of outside option and retailer-type misidentification and find that both can alleviate the retailer’s disadvantage of being target-oriented. Managerial implications: (i) The target-based preference can be exploited by the trading partner, and hence, a firm should adopt the target-oriented decision criterion with caution. (ii) A target-oriented retailer can explore strategies such as revealing his outside option or hiding his target-based preference in order to be less manipulated. (iii) Whether a firm (and the supply chain) can benefit from its trading partner’s target-based preference often depends on how ambitious the trading partner (and the firm itself if it is target-oriented) sets the target. (iv) Target-based preference of one or both firms can help the supply chain reach the first-best efficiency. (v) When both firms are target-oriented, decentralization can be preferred to centralization.

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