Research About Revenue Allocation Model Of Vendor Managed Inventory Based On Shapley Value

Business management is transforming from "vertical integration" to "horizontal integration" with the gradual in-depth of economic globalization and the rapid development of information and network technology. Supply chain management emerged as a new management mode, and at the same time Vendor Managed Inventory is being gradually adopted and applied as an effective supply chain management way. However, each copartner's fundamental purpose of establishing a supply chain cooperation is to gain a competitive edge and get more profit. Each enterprise of the supply chain cooperation is a independent rational and profit-driven economic entity whose ultimate goal is pursuing its own maximum profit, so how to allocate the benefits of cooperation is especially important. If the copartner gains less than the benefits when operating independently or feels unfairness of the revenue allocation, it will definitely affect the efficiency of the supply chain, and even lead to disintegration of the supply chain. Therefore, a fair and reasonable revenue allocation mechanism is the key to keep the supply chain cooperation'efficient operation and sustained presence.In this thesis, Shapley value method is used as theoretical guidance and the revenue allocation after the implementation of the Vendor Managed Inventory is regarded as the research object. This thesis uses Shapley value to rationally allocate the increased earning in the "one vendor and two retailers" model. The research results can provide guidance and reference for all copartners.This thesis includes the following six chapters:Chapter one is the introduction section, which describes the research significance, research methods, structure of the thesis and innovation points.Chapter two is the literature review section. This section gives a brief description of the vendor managed inventory strategy, describes the development and present application of the Shapley value and illuminates the present study situation of the supply chain revenue allocation and Shapley value used in the vendor managed inventory revenue allocation when considering risk factors. Then it puts forward the existing shortcoming of the literature and presents the study contents of the article.Chapter three study the "one vendor and two retailers" vendor managed inventory model to arrive at four points conclusions and puts forward the need for redistributing the revenue.Chapter four uses Shapley value method to redistribute the revenue of the model and describes its feasibility, principles, concrete steps, advantages and disadvantages, then vividly illustrates it through designing a number example.Chapter five describes that how to use risk factors to amend the revenue allocation program. First, this section uses the FCE method to calculate each copartner' risk value and gains the risk factors through normalizing the risk values. Second, shows us the treads and specific steps to amend the revenue allocation program using Shapley value. Then, this chapter describes that how to measure the fairness of revenue allocation and shows us the implementation process of the revenue allocation.Chapter six summarizes the main research results and points out the shortcomings of this thesis'current research and direction for further research.In the research process, This thesis has established a "one vendor and two retailers" vendor managed inventory model and analyzes it comparatively; This thesis has also amended the revenue allocation program using risk factors instead of success rate which used by previous studies, which makes the study focus transform from reducing the overall amount of revenue can be allocated to transfering reasonably the overall revenue during the copartners.