Supply Chain Coordination On Two-Suppliers And One-Manufacturer Assembly System With Uncertain Delivery Time

This paper mainly researches the supply chain consisted of two suppliers and a singlemanufacturer. Meanwhile, the delivery time of the two suppliers is uncertain andstochastic. This paper employs two models to study the optimal decision of the twosuppliers thoroughly in the static environment. One model is in the delivery time windowsetting, the other model is in the “Freshness Clause” setting. And this paper also solves theproblem of supply chain coordinated mechanism in the two settings.Firstly, this paper introduces the literature reviews of the Supply Chain Management,Supply Chain Coordination Management, VMI and Supply-Hub, and points out theshortcomings of the present research. Secondly, this paper aims the assembly system asthe research object. The condition of the assembly system is that the delivery time of thetwo suppliers is uncertain and stochastic. This paper brings forth the new idea of thedelivery time window mechanism and a coordination mechanism. The result tells that, thedelivery time window strategy can effectively reduce the cost of supplier, and the longerthe time window is, the lower the cost of suppliers are, but a single delivery time windowstrategy can’t completely realize the entire supply chain coordination. And then, based onthe former research of the delivery time window mechanism, this paper gives a new pointof “Freshness Clause” mechanism by changing the method of payment in the assemblysystem. The result shows that, if the costs of the suppliers’ delivery delay punishmentincrease, the penalty mechanism can realize supply chain coordination. Finally, the papersummarizes the research theory and the future research where we can make some moreresearch prospects.