A Study On Coordination Mechanism Of Supply Uncertainty In Supply Chain Based On Revenue

This thesis studies the coordination issue of a three level supply chain network consisting of suppliers, manufacturer, retailers and customers. The interdependence and competition between supply chain members is analyzed. Included transportation uncertainty, the impact of supply chain uncertainty on cost and profit of members is analyzed through simulation. Feasible coordination mechanisms are proposed and the results are analyzed.First of all, we review the literatures on supply chain uncertainty and coordination mechanism. Through investigation, we find there are not only interdependence but also horizontal competition among companies of the same level and vertical competition between adjacent companies. Then we propose the hypothesis for our study.According to demand uncertainty, this thesis classifies the supply chain into supply chain of functional products and innovative products. Through the analysis of the impact of supply uncertainty on supply chain performance with simulation, it is found that supply uncertainty reduces manufacturer and retailers' profit and the performance of supply chain.So quantity discount contract is proposed for the coordination of supply chain of functional products and buy-back contract for innovative products. The results of simulation and sensitive analysis reveal that although the performance of supply chain is improved, the profit of manufacturer is reduced. So it still needs other proper mechanism to allocate the coordinated profit. The result depends on the bargaining power of manufacturer and retailers. Buy-back contract will make the profit of manufacture and retailers and the performance of supply chain improved then coordinate the supply chain under supply uncertainty.