scholarly journals Demand Allocation and Profit Sharing to Improve Salt Farmer’s Revenue: A Cooperative Game Approach

Author(s):  
Iffan Maflahah ◽  
Budi Santoso Wirjodirdjo ◽  
Putu Dana Karningsih

Abstract The main problem of the salt supply chain system is the oligopoly market structure dominated by middlemen which reduces the bargaining power of farmers. It has, however, been discovered that vertical collaboration (farmers to cooperatives) and horizontal collaboration (farmers to farmers) models have the ability to increase farmers' revenue. Therefore, this research was conducted to determine the effect of both horizontal and vertical collaboration models on the salt supply chain system with the expectation to increase farmers' revenue. This involved the application of the cooperative game theory with Shapley's value used as the basis for decision making. The result showed that the collaboration of stakeholders in the salt supply chain system has the ability to increase farmers' revenue, especially when they sell a maximum of 20% of their products through cooperatives and the rest through middlemen. This means the existence of farmers as cooperative members has a positive impact as observed in the revenue increment. Therefore, it is recommended that cooperatives improve their functions and roles as providers of savings and loans and market seekers, determine the appropriate prices for salt, and improve the quality of the products produced by their members. Moreover, a collaboration between farmers is mutually beneficial and this means efforts should be made to ensure cooperation, especially for small farmers.

2014 ◽  
Vol 668-669 ◽  
pp. 1587-1590
Author(s):  
Jin Yu Ren ◽  
Yong Xian Liu ◽  
Peng Fei Zeng

To a decentralized supply chain system consisting of a manufacturer and multiple independent retailers, the game models about the decentralized solution and centralized solution are developed. Comparison of the optimal solutions to two models reveals that the supply chain needs coordination. Then a coordination model on the revenue-sharing contracts is introduced. Finally, a numerical example shows that the perfect supply chain coordination and the flexible allocation of the profit can be achieved when a complementary profit-sharing agreement is included.


2018 ◽  
Vol 218 ◽  
pp. 04021
Author(s):  
Dyah Lintang Trenggonowati ◽  
Asep Ridwan ◽  
Zunika DwiAnggraini

Future industrial development strategies, derived from current ideas, that is industrial development through a cluster approach. Cilegon city is a city with many petrochemical industries and other, it should be a potential that can give a positive impact for the welfare of Cilegon city community, the researchers want to design the cluster of the petrochemical derivative of IKM with supply chain system approach. The objective of the research is to design the development of a petrochemical derivative cluster of IKM in Cilegon, to determine the factors that influence the development of SMEs clusters, and to design improvement scenarios in the development of SMEs clusters with dynamic system simulations. Based on the results of SMEs cluster design, the stakeholders in the design are government, big companies, and business actors. Types of products to be produced are plastic packaging, plastic bottles, and plastic bags. The location of the right cluster of IKM development is located in Grogol sub-district. Raw materials used by petrochemical derivatives can be obtained from factories producing polyethylene in Grogol sub-district such as PT Lotte Chemical Titan. Factors that have the significant effect on SMEs cluster development are the factors of government support and local business power factor. The simulation result shows that the second alternative proposal is considered reliable enough to face the fluctuating market demand. From the simulation results obtained the average production of 228,513,6914 psc, the average production stock 821,742.4 and the average sales of 200,000 psc.


2019 ◽  
Vol 20 (2) ◽  
pp. 24
Author(s):  
Muhammad Faisal Ibrahim ◽  
Maulin Masyito Putri

In practice, the policy of delaying payment periods is prevalent between players in a supply chain system. Generally, payments made at the end of the permitted period. Supply chain management is one of the keys to corporate sustainability that the activities have an impact on the environment.  This paper aims to develop an integrated green supply chain model with a permissible delay in payment consideration. In this research, the author develops a mathematical model to find the effect of delay in payment on emissions costs without ignoring the economic performance of a supply chain. The author develops four different scenarios model. Furthermore, numerical experiments and sensitivity analysis tests were conducted. Result of the study shows that delay in payment is integrated players into the supply chain system.  It has a positive impact on reducing supply chain emissions costs.


2021 ◽  
Vol 1 (1) ◽  
Author(s):  
Muhammad Iqbal Maulana ◽  
Hana Catur Wahyuni

Astrans Putra Logistik Ltd. is a logistics service company with shipping routes in Sidoarjo, Denpasar, Lombok and NTB. Some of the problems that occur, such as delays in the pick-up process of goods to the load that large but not enough for departure, cause the quality of the supply chain system to be poor. So this research needs to be done with the aim of knowing the point of waste in the supply chain, identifying the sigma value, and determining the priority for its improvement. Quality improvement is carried out using the Lean Six Sigma method with AHP integration as a priority selection for improvement. From the research results, it was found that there was waste that caused 3 (three) CTQ, namely delivery was delayed, goods were damaged or leaked, and there was a difference in the number of goods. The company's DPMO value is 34272 with a sigma value of 3.34. The priority for improvements that can be made based on AHP weight, namely check the package packages before they are sent (0,353), make SOP for the preparation of goods (0,167), and apply SOP for goods checking documents (0,142).


2019 ◽  
Vol 3 (2) ◽  
pp. 107
Author(s):  
Johan K. Runtuk ◽  
Anstasia L. Maukar

Excessive waste is one of the problems in the food supply chain system. This study aims to identify supply chain players, map, and reduce waste that occurs in the Papaya California agribusiness supply chain process in Cikarang, Bekasi. Data collection was obtained from the results of field studies and interviews with parties involved in the supply chain such as farmers, distributors, retailers, and consumers. Increasing the effectiveness of Papaya's supply chain network is by improving the quality of packaging (modified atmosphere packaging (MAP), smart packaging, active packaging, and intelligent packag­ing), sharing data among chain players supply, implement refri­ge­ration and monitor transportation technology and promote the long term.  Good coordination between parties involved in the Papaya supply chain has a significant role in creating an effective and effici­ent supply chain system.


Filomat ◽  
2016 ◽  
Vol 30 (15) ◽  
pp. 4059-4072 ◽  
Author(s):  
Xiaofeng Xu ◽  
Jiaguo Liu ◽  
Yongli Li ◽  
Xuelong Zhou

The aim of this paper is to understand how disruptions effect on closed-loop supply chain, and how to achieve the coordination of closed-loop supply chain under disruptions situation for the whole supply chain system. Design/methodology/approach- This paper analyzed the effect caused by the disruptions of the closed-loop supply chain from both supply and demand , and applied the established margin profits sharing contract to achieve coordination under the disruptions. Findings- From both supply side and demand side, it drew how the disruptions affect the closed-loop supply chain. When the disruptions have less effect on the forward and reverse cost of closed-loop supply chain, the impact of the closed-loop supply chain is controllable; when the disruptions have lager effect on the forward and reverse cost of closed-loop supply chain, the impact of the closed-loop supply chain is uncontrollable. Research limitations/implications- In this paper, the contract costs are ignored for zero. While in actual situation, to maintain the efficient implementation of this contract must spend considerable cost. Sometimes the cost may be too high to become hinder between manufacturers and retailers. This paper also does not make in-depth study on this issue, so it will be further study in the future. Originality/value- This paper also designed a set of differential profit sharing contract based on revenue sharing contract mechanism. The contract is easy to be managed, easy to be operated, making the closed-loop supply chain system can achieve coordination whether in steady state or under disruptions.


2019 ◽  
Vol 20 (2) ◽  
pp. 128
Author(s):  
Muhammad Faisal Ibrahim ◽  
Maulin Masyito Putri

In practice, the policy of delaying payment periods is prevalent between players in a supply chain system. Generally, payments made at the end of the permitted period. Supply chain management is one of the keys to corporate sustainability that the activities have an impact on the environment.  This paper aims to develop an integrated green supply chain model with a permissible delay in payment consideration. In this research, the author develops a mathematical model to find the effect of delay in payment on emissions costs without ignoring the economic performance of a supply chain. The author develops four different scenarios model. Furthermore, numerical experiments and sensitivity analysis tests were conducted. Result of the study shows that delay in payment is integrated players into the supply chain system.  It has a positive impact on reducing supply chain emissions costs.


2015 ◽  
Vol 2015 ◽  
pp. 1-14 ◽  
Author(s):  
Qingming Zou ◽  
Guangyu Ye

In a closed-loop supply chain consisting of a manufacturer and a retailer, this paper studies the pricing strategies and coordination mechanism of supply chain when the remanufacturing cost is random caused by the proportion of reusability parts in design stage and quality condition of recycling product. The results show that the wholesale price and retail price are negative correlation, while the recycling rate and total profit of supply chain system are positive correlation with the proportion of reusability component designed in new product and quality of recycling product. Moreover, there are conclusions that the wholesale price and retail price are lower while the recycling rate and total profit of supply chain system are higher with centralized decision. Then, in order to coordinate the closed-loop supply chain, this paper develops a revenue-sharing contract, in which the revenue share parameter is determined based on absolute deviation approach. The theoretical results are illustrated by a numerical example.


2021 ◽  
Vol 2021 ◽  
pp. 1-18
Author(s):  
Menghui Lou ◽  
Xiaolei Dong ◽  
Zhenfu Cao ◽  
Jiachen Shen

The demands for the fairness, security, and efficiency of the supply chain have grown significantly due to the rise of globalization. However, some problems of the information flow, logistics, and capital flow in the supply chain remain a challenge, such as the information asymmetry between upstream and downstream, substandard quality of goods, difficulty in traceability, and default of payment. Therefore, this paper proposes a blockchain-based supply chain framework (SESCF), which solves the supply chain problems securely and efficiently. First, the use of blockchain and smart contracts ensures the information symmetry in the supply chain system. Second, the radio frequency identification (RFID) provides a unique identity of goods, which helps in real-time quality monitoring. Additionally, the immutability and distributed storage of the blockchain play an important role in tracking the origin of goods. Third, the efficient payment channel is used to solve the problem of payment defaults. Furthermore, simulations of smart contracts along with the security analyses are presented in this paper. We also implement a blockchain-based supply chain system (SescfDapp), which is built upon a Consortium blockchain. Large-scale experiments and detailed analysis prove the feasibility and efficiency of our proposed system.


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