skip to main content
Language:
Search Limited to: Search Limited to: Resource type Show Results with: Show Results with: Search type Index

How to facilitate supplier-supplier collaboration: The impact of a manufacturer’s order allocation policy and subsidy offering

Annals of operations research, 2023-04, Vol.323 (1-2), p.79-107 [Peer Reviewed Journal]

The Author(s), under exclusive licence to Springer Science+Business Media, LLC, part of Springer Nature 2023. Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law. ;COPYRIGHT 2023 Springer ;ISSN: 0254-5330 ;EISSN: 1572-9338 ;DOI: 10.1007/s10479-022-05057-9

Full text available

Citations Cited by
  • Title:
    How to facilitate supplier-supplier collaboration: The impact of a manufacturer’s order allocation policy and subsidy offering
  • Author: Jung, Dawoon ; Kim, Bosung ; Yoo, Seung Ho
  • Subjects: Analysis ; Business and Management ; Collaboration ; Combinatorics ; Cooperation ; Cooperation (Economics) ; Game theory ; Inventory control ; Management ; Manufacturing industry ; Methods ; Operations research ; Operations Research/Decision Theory ; Original Research ; Resource allocation ; Subsidies ; Suppliers ; Theory of Computation
  • Is Part Of: Annals of operations research, 2023-04, Vol.323 (1-2), p.79-107
  • Description: In response to rapidly changing market conditions, manufacturers are increasingly trying to induce collaborative interactions between suppliers to facilitate the sharing of problem-solving ideas, technical advice, and managerial know-how. However, even if supplier-supplier collaboration is an effective way to enhance operational performance, it could be challenging if the suppliers compete to win the same order from the manufacturer. By employing a game-theoretical model, this study explores how a manufacturer can leverage the order allocation policy to facilitate collaboration between two competing suppliers. The results show that the timing of the order allocation policy announcement is critical. If the policy is announced after observing the behavior of the suppliers, the manufacturer cannot induce the desired outcome. However, the announcement that precedes the behavior of the suppliers can lead to collaboration between suppliers if the associated cost is affordable. The maximum affordable level that reflects each supplier’s collaboration burden becomes mild when the suppliers possess a similar capability and secure a sufficient margin. Unlike the manufacturer, who always benefits from suppliers engaged in collaboration, collaborative suppliers require more restricted conditions to generate a higher profit. We also examine the effectiveness of an additional lever, the manufacturer’s financial support or subsidy for supplier-supplier collaboration. Our result indicates that if the subsidy is inappropriately determined, it could become a waste of resources.
  • Publisher: New York: Springer US
  • Language: English
  • Identifier: ISSN: 0254-5330
    EISSN: 1572-9338
    DOI: 10.1007/s10479-022-05057-9
  • Source: ProQuest Central
Back to results list
INSPIRE LIBRARY - TON DUC THANG UNIVERSITY (84-028) 37 755 057 Feedback
19 Nguyen Huu Tho St. Dist.7, HCM thuvien@tdtu.edu.vn

Copyright © 2017 INSPIRE LIBRARY - TON DUC THANG UNIVERSITY

Searching Remote Databases, Please Wait