A Study On The Value And Strategy Of Information Sharing In Supply Chain

The competition between corporations has evolved into the competition on SupplyChain (SC) with the globalization and the intensification of competition. During theprocess of implementing supply chain management (SCM), it is acknowledged that dueto the influence from uncertainties on cost, risk as well as cooperation, there exists afact that the information is distorted to some extent. This increase the operational costand risks in the procedure of information flow within SCM, which is called "bullwhipeffect (BE)"that refrains the whole system from running effectively. Based on thediscussions about the status of SCM, this paper discusses the information issue in SCM,especially analyzes the phenomenon of distortion of information, namely, bullwhipeffect. Based on what is mentioned above, it is presented five representative models tostudy the value of information-sharing and the related problems. Relevant information-sharing tactics and factors affecting the issue as well as the result are exploited. It isconcluded from researching these models that employing the information-sharingstrategy can eliminate the phenomenon of bullwhip effect and bring down theoperational cost to some extent resulting in more benefits to system members. Finally,the thesis touches on some issues such as willingness conflicts, the way information isshared and security when we are involved in the job of SCM.