Coordination mechanisms for digital and sustainable textile supply chain

PurposeSupply chain network is complicated to manage due to the involvement of a number of agents. Formation of virtual organization using Industry 4.0 (I4.0) is an approach to improve the efficiency and effectiveness and to overcome the complexities of the channel. However, the task of managing the channel further becomes complicated after incorporating sustainability into the supply chain. To fill this gap, this paper focuses on designing of mechanism and demonstration of I4.0-based virtual organization to coordinate sustainable supply chain.Design/methodology/approachIn this paper, we model and compare I4.0-based virtual organization models using four other traditional contracts with centralized supply chain. The non-cooperative game theoretic approach has been used for the analysis of models.FindingsOur game-theoretic analysis shows that investment in I4.0 and sustainable innovation are beneficial for the overall supply chain. Our results show that linear two-part tariff contract and I4.0-based virtual organization model can perfectly coordinated with the supply chain.Research limitations/implicationsThis study consider deterministic model settings with full information game. Therefore researchers are encouraged to study I4.0-based coordination models under information asymmetry and uncertain situations.Practical implicationsThe paper includes implications for the development of I4.0-based coordination model to tackle the problems of channel coordination.Originality/valueThis study proposes I4.0-based game-theoretic model for the sustainable supply chain coordination.

Coordination and Compensation Model of E-Commerce Dual-Channel Supply Chain Based on Optimized Genetic Algorithm

Due to the conflict between traditional channels and electronic channels in the e-commerce dual-channel supply chain, retailers are threatened and need to be compensated in some way. Based on this, an e-commerce dual-channel supply chain coordination compensation model based on optimized genetic algorithm is designed. Based on the problem description and basic assumptions, analyze the manufacturer’s profit and the retailer’s maximum profit in the case of centralized decision-making and decentralized decision-making. The genetic algorithm is optimized by introducing a collaborative genetic operator, and the optimized genetic algorithm is used to obtain dual e-commerce channels. The maximum profit of the supply chain, so far, the model design is completed. Through comparative experiments, the optimized genetic algorithm used in the model is compared with two traditional algorithms. Experimental results show that the proposed algorithm takes shorter iteration time to solve the problem, its convergence is better, and it can effectively obtain a global optimal solution instead of a local optimal solution.

Design Crowdsourcing Supply Chain in Short Life Cycle Products

Design crowdsourcing is the largest open innovation model that can create value with potential consumers. It offers an opportunity to quickly respond to the market by obtaining instant designs from the crowd, freelancing designers with fundamental skills. In addition, it can secure globally innovative competitiveness without financial burden, which is more effective to start-up companies and small and medium enterprises (SMEs) in the field of seasonal product industry. Developing standardized design crowdsourcing supply chain processes and mathematical models is essential to respond to market trends and customer needs in the seasonal product industry. This study has been carried out to determine the best mechanism in the design crowdsourcing supply chain and coordinate each supply chain member whose desires meet each other. Thus, we identify contracts under which conditions can coordinate the crowdsourcing supply chain by a newsvendor model with a manufacturer and a retailer with a crowdsourcing platform. To see that, we study the coordination of the crowdsourcing supply chain through the following contracts: wholesale price, buy-back, and revenue sharing contract. For the forecasting, we present a framework of the design crowdsourcing supply chain and compare supply chain performance under crowdsourcing supply chain coordination. The summarized result shows that the wholesale price contract cannot coordinate the crowdsourcing supply chain efficiently. In contrast, buy-back and revenue sharing contracts can coordinate the crowdsourcing supply chain.

Effect of Supply Chain Coordination on Performance

Research on supply chain management (SCM) focuses on “what” factors of a supply chain enable firms to achieve high performance. It examines the effect of two strategically important pillars: supply chain relationships or capabilities. However their isolated investigation leads to a limited understanding of “how” they can be combined to increase firm performance. In this study we argue that beyond their direct effects the relational and the capability-based determinants of a supply chain have a network of indirect relationships that concurrently and differentially affect firm performance. Building on the relational and resource-based views we develop a serial-mediation model examining the mediating effects of trust in supply chain and collaborative advantage (i.e. relational determinants), and supply chain agility and coordinated supply chain (i.e. capability-based determinants) of SCM. Through the use of hierarchical linear regression analysis we show that trust, agility and collaboration act as serial mediators that carry the indirect effect of coordination to firm performance.

Dual-Channel Supply Chain Coordination With BOPS and a Revenue-Sharing Contract

The omni-channel strategies buy-online-pickup-in-store (BOPS) is used to cater to customers who want a consistent service experience in different channels. In this paper, the author thinks of BOPS as an effective strategy for encouraging some online customers to switch to offline stores with high online return losses. The author first studies an omni-channel supply chain with centralized and decentralized decision making and explains why online returns hurt the supply chain with respect to the matching rate and the unit return loss. Although different channels can be operated by the same firm or different firms, the author studies how to coordinate the entire chain using a revenue-sharing contract. When online return losses are high, it is effective to adopt BOPS to reduce online return losses; otherwise there is no need to do so. Finally, the author presents numerical experiments, including a special case, and shows that in many cases, using an appropriate revenue-sharing contract under the proposed mechanism can increase the profits of the entire supply chain and its members.

Design of risk sharing and coordination mechanism in supply chain under demand and supply uncertainty

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.

The Orchestrating Role of Carbon Subsidies in a Capital-Constrained Supply Chain

In this paper, we investigate the role of carbon subsidies in a capital-constrained supply chain. We analyze two green technology investment structures in such supply chains: one where the manufacturer determines the optimal carbon emission abatement level (MI-structure) and one where the retailer determines the optimal carbon emission abatement level (RI-structure). As the leader (the powerful participant or the first mover in a supply chain), the manufacturer may choose the investment structure that is most favorable to them. Our major findings are as follows: (1) carbon subsidies can improve the performance of a centralized green supply chain; (2) there exists a threshold value of carbon subsidy that determines the manufacturer’s choice of the best carbon emission abatement investment structure, but the retailer always benefits from RI-structure; and (3) the traditional cost-sharing contract fails to achieve green supply chain coordination. However, as an orchestrator, the carbon subsidy plays a crucial role in achieving quantity coordination when implemented alongside traditional cost-sharing contracts. Furthermore, using a parameter of side-payment, we propose a new contract design that facilitates win-win coordination.

The Importance Evaluation of Weighted Supply Chain Network Nodes Based on Big Data Considering the Degree of Coupling and Coordination

Through big data and computer intelligent software, it is possible to quickly and accurately calculate the supply chain coordination relationship between global enterprises, and due to comprehensively, quickly and objectively assess the importance and stability of each node in the supply chain network where the company is located in the wave of supply chain globalization, it is convenient for decision makers to effectively and accurately identify the key nodes in the supply chain network system, thereby improving the supply chain of the stability and sustainability of the network. The paper proposes an improved comprehensive evaluation method of weighted node entropy weight based on coupling coordination, supply chain and complex network theories, taking into account the coupling and coordination of nodes in the supply chain network system, as well as the importance and connection of nodes. The importance of edges. With the mining and support of big data technology, this improved method can comprehensively and objectively evaluate the importance of nodes in the supply chain network. Finally, taking 2827 companies as examples, the experimental results verify the rationality and effectiveness of the method.