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Toward complexity: The impact on the traditional supply chain management by decentralized control — A view from a Supply and Demand Network (SDN)

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2 Author(s)
Jianjia He ; School of Business, The University of Shanghai for Science and Technology, Shanghai, China ; Fuyuan Xu

In the overall control of a classic sense, the producers in the traditional supply chain can have control over the sales agents or retailers and reach the stable equilibrium by wholesale-price plus subsidy contracts. However, when things processed are complex and decision-making decentralizes in various system nodes, the traditional description is definitely inadequate. Thus, this article discusses the impact of the decentralized decision-making and decision-making period on the supply chain and proves that, as a result of the impact, the supply chain system cannot always be optimal.

Published in:

Industrial Engineering and Engineering Management, 2009. IE&EM '09. 16th International Conference on

Date of Conference:

21-23 Oct. 2009