In this paper we consider a single inventory (newsboy) problem in which the vendor has a limited amount of funds to purchase items to sell. We assume that the manufacturer will either sell the items to the vendor outright or offer the items to the vendor on a revenue sharing (consignment) basis. In the latter case, that amount of money the vendor pays per unit is less than if the items are purc...

The decision processes surrounding outsourcing are complicated by the very nature of uncertainty involved in the outsourcing process and by poor vendor management. In this study, we focus on vendor selection, one of the two basic issues of vendor management in outsourcing. Due to the limitation of the classic one-stage vendor selection model, we propose a two-stage vendor selection research fra...

In this research, an integrated inventory problem is formulated for a single-vendor multiple-retailer supply chain that works according to the vendor managed inventory policy. The model is derived based on the economic order quantity in which shortages with penalty costs at the retailers` level is permitted. As predicting customer demand is the most important problem in inventory systems and th...

Cisco IT Case Study / Business Management / Vendor Management: This case study describes the creation of a global vendor management office (VMO) within Cisco. The VMO supports strategic vendor relationships across the IT organization. In the first three quarters of 2004, the VMO saved or recovered US$33M in IT costs and improved several Cisco vendor relationships. Cisco customers can benefit fr...

In this paper, we investigate the effects of four determinants of vendor profitability in enterprise resource planning (ERP) outsourcing projects under two contractual regimes: fixed price (FP) contracts and time and material (TM) contracts. We hypothesize that effect sizes are larger under FP contracts than under TM contracts. From a transaction cost economics perspective, we hypothesize that ...