Value Analysis Of Information Sharing In Supply Chain Inventory Management

In developed net new economy ear,supply chain management makes a rapid progress as a new administration mode。It becomes main stratagem in improving benefit and elevating competition of enterprises。However,during the process of implementing supply chain management(SCM),information can't be transferring in time and correctly,which causes operational cost in supply chain to increase and lead ineffective cooperation between supply chain members。Information sharing is an effective method resolving these problems。Therefore,information sharing become the important field many scholars focus on。These studies can be divided into two kinds:how to relize information sharing;the value of information sharing。The thesies research the value of sharing demand information in supply chain。The paper firstly analyze the information problem in supply chain management。Information can't be transferred smoothly,which bring the asymmetric information between the enterprises and lead the information to be distorted。The study show that information sharing can effectively solve these problem and reduce the operational cost in supply chain。The paper also introduce some supply chain inventory management model and compare their advantage and defect respectively。The emphases of this paper is that the thesies quantify the value of information sharing in traditional inventory and VMI model。We analyze the value from three aspects:ordering strategy,average inventory and expected cost(including inventory holding and shortage cost)。Lee's reseach show that information sharing in traditional inventory model can reduce supplier's average inventory and expected cost。Based on Lee's research,this paper futher analyze the impact of supplier's ordering strategy,average inventory and expected cost by implementing VMI。The result show that sharing demand information in traditional inventory model can effectively reduce supplier's average inventory and cost,the result futher show that implementing VMI is more effective than sharing demand information in traditional inventory model。...