A Study On Mechanism And Prevention Of Information Risks In Supply Chain

As a brand new managerial mode in 21st century, management of supply chain plays an important role for our Chinese companies in the acute competition of globalization after China's access to WTO. And researches on information risks in supply chain would make great significance for Chinese companies to effectively avoid risks in the process of supply chain management in order to realize the maximization of economic benefits. This article analyses deeply the information risks of supply chain from two aspects: mechanism of"Principal and Agent", and"Bullwhip Effect". And based on such theory analysis, the article suggests using mechanism of benefits allocation and risks decentralization to build a incentive and restriction system for companies, at the same time weakening the"Bullwhip Effect"as to guarantee the expected results of management of information risks in supply chain.