A geometric representation of profits in a supply chain network

Date

2012-05-01

Author

Serin, Yaşar Yasemin

Metadata

Show full item record

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

Item Usage Stats

161
views

0
downloads

Economists express profits as areas representing producer's surplus or consumer's surplus corresponding to a pair of supply and demand functions. A similar representation can be employed in a supply chain network where there can be several producers/suppliers and several consumers/retailers in various trading situations. We aim to graphically represent the profits corresponding to a combination of the decisions of all participants in a supply chain, simultaneously, as areas of non-overlapping regions on the same graph. This way, the shares of the participants in the total can be visually observed and the interdependencies and the inefficiencies in the chain can be detected where the decisions and the corresponding profits are generally interdependent. Such a visual tool can be used in evaluating as well as in designing a supply chain.

Subject Keywords

Equilibrium, Inefficiency, Single period profits, Supply chain

URI

https://hdl.handle.net/11511/46708

Journal

INTERNATIONAL JOURNAL OF PRODUCTION ECONOMICS

DOI

https://doi.org/10.1016/j.ijpe.2012.01.010

Collections

Department of Industrial Engineering, Article

Suggestions

OpenMETU
Core

A deterministic inventory/production model with general inventory cost rate function and piecewise linear concave production costs Bayındır, Zeynep Pelin; Frenk, J. B. G. (Elsevier BV, 2007-05-16) We present a thorough analysis of the economic production quantity model with shortages under a general inventory cost rate function and piecewise linear concave production costs. Consequently, an effective solution procedure, particularly useful for an approximation scheme, is proposed. A computational study is appended to illustrate the performance of the proposed solution procedure.
Uniform trade rules for uncleared markets Kibris, Oezguer; Küçükşenel, Serkan (Springer Science and Business Media LLC, 2009-01-01) We analyze markets in which the price of a traded commodity is such that the supply and the demand are unequal. Under standard assumptions, the agents then have single peaked preferences on their consumption or production choices. For such markets, we propose a class of Uniform trade rules each of which determines the volume of trade as the median of total demand, total supply, and an exogenous constant. Then these rules allocate this volume "uniformly" on either side of the market. We evaluate these "trade...
A multi-phase heuristic for the production routing problem Solyali, Oguz; Süral, Haldun (2017-11-01) This study considers the production routing problem where a plant produces and distributes a single item to multiple retailers over a multi-period time horizon. The problem is to decide on when and how much to produce and stock at the plant, when and how much to serve and stock at each retailer, and vehicle routes for shipments such that the sum of fixed production setup cost, variable production cost, distribution cost, and inventory carrying cost at the plant and retailers is minimized. A multi-phase heur...
Nonlinear models for UK macroeconomic time series Ocal, N (2000-09-01) This paper examines possible nonlinearities in growth rates of nine U.K. macroeconomic time series, namely gross domestic product, price, consumption, retail sales, personal disposable income, savings, investment, industrial production and unemployment, chosen as representative of series typically used to investigate business cycle fluctuations. By basing analysis on the class of smooth-transition autoregressive (STAR) models, it is assumed that the economy can be in one of two states with distinct dynamics...
A quantitative analysis of cost-push shocks and optimal inflation volatility Senay, Ozge; Sutherland, Alan (Informa UK Limited, 2008-01-01) This article presents a quantitative analysis of optimal inflation volatility in a simple sticky-price general equilibrium model subject to both supply and cost-push shocks. It is found that optimal policy implies a relatively small degree of inflation volatility even when cost-push shocks are the dominant source of economic disturbance. In addition, it is found that optimal policy generates only a very small welfare gain when compared to strict inflation targeting.

Citation Formats

Y. Y. Serin, “A geometric representation of profits in a supply chain network,” INTERNATIONAL JOURNAL OF PRODUCTION ECONOMICS, pp. 36–44, 2012, Accessed: 00, 2020. [Online]. Available: https://hdl.handle.net/11511/46708.