We study a practice whereby a downstream firm makes to his supplier a premium-payment for a certain quantity of products. We show that the adoption of this practice can induce the supplier to build bigger capacity. The higher capacity level enables the supplier to satisfy a larger portion of demands from the downstream firm, and this leads to higher payoffs for both parties in the supply chain....

this paper provides an analytical framework for an Agri-food supply chain (ASC) network that consists of the farmers' group and/or cooperative (FGC) as a supplier of vegetables, modern retailers (MR), and end customers. In this network, FGC cannot supply vegetables direct to MR because they cannot fulfill the requirements as a qualified supplier. However, MR needs FGC as a supplier to shorten A...

In a highly competitive scenario, suppliers play a vital role in making a business organization successful. Business of any organization is continuous process and therefore the supplier selection is also dynamic in nature. This is quite natural as the organization’s demand; supplier’s capacity, quality level, lead time, unit part cost and fixed transportation cost of supplier varies with time. ...

Limited business resources and a fierce market competition require quality management which considers stakeholders’ needs. For every production company important stakeholders are suppliers of components embedded in the final product. The selection of suppliers of product components plays a very important role in the realization of the production process. Supplier selection is a multi-criteria d...

Suppliers have become resources for innovation and competitive advantages. To realize those potentials specific competencies have to be developed in a partnership between customer and supplier. The success of those development projects and also the effort that has to be put in depend on several factors. One of those factors is the motivation of the supplier organization. An empirical study show...

The supplier and buyers, with different objectives and self-interest, are separate economic entities acting independently and opportunistically to maximize their individual profits. In this paper, a GBA model in the B2B market is studied, where one supplier faces 2 different retailers, who cooperate in the order decision making. Firstly, the optimal ordering decision of the retailers was analyz...

Supplier selection negotiation is a challenged, complex, and nondeterministic problem. To solve the problem well, it is necessary to develop an intelligent system for negotiation support in supplier selection process. Reinforcement Learning (RL) is a powerful algorithm which can be used for the price offer in supplier selection negotiation with the aim of maximizing the demander’s profits. In t...

In this paper, we discuss the replenishment decision of seasonal products in a two-echelon distribution system consisting of a supplier and multiple retailers. Due to long manufacturing lead time, the supplier orders its entire stock for the season well in advance. The retailers, on the other hand, can replenish their inventory from the supplier throughout the season as demand realizes. Demand ...

As suppliers provide more value in today’s supply chains, eliciting supplier cost-reduction efforts and inducing supplier competition are two important levers for a buyer to reduce sourcing costs. In this paper, we study a buyer’s sourcing strategy considering supplier effort and competition. The buyer has two instruments in her strategy: the composition of the supply base and the contracting m...