Study On Information Sharing In Supply Chain With Third Party Logistic Under Electronic Commerce

Electronic commerce plays an important role in our life. It not only changes the models of business operation and sales, but only changes the internal and external environment of supply chain. How to achieve the supply chain coordination in the new environment is a hot spot for the research on supply chain management. Contract mechanism and information technology are the methods of achieving better supply chain coordination. Contract can build a good relationship among the members, Information sharing can reduce the bullwhip effect and make effective coordination. The logistics has become an important part of supply chain operation for the enterprises. Logistics distribution is more important electronic commerce.In order to analyze the issue of information sharing with TPL under electronic commerce, the paper considered the third party logistic was responsible for the logistics for retailer, established a three-level supply chain model composed by an online retailer and TPL. In the model, the delivery capability of TPL was limited, TPL offered extra delivery capability for the online retailer, which built a cost sharing contract between them. In this case, how the additional distribution capability cost information affects the decision of the ratio and the amount to invest are studied with or without information sharing. At last, a specific algorithm was designed to test the value of information sharing. The results show that the retailer incurs a significant profit loss if it fails to account for cost information in the ratio decision. Under the assumption that TPL is better informed than the retailer on cost information, we show that TPL prefers not to share if the retailer overestimates while it prefers to share cost information if the retailer underestimates this information. The values of sharing cost information for the retailer and TPL are not always positive. It always has a positive impact on the retailer, but only under certain conditions will there be positive values for TPL, otherwise it will reduce the profits of TPL. For the entire supply chain, the values of sharing cost information are not always positive. When it seriously reduces the profits of TPL, it causes a negative impact on the entire supply chain. We also discuss incentives to share the cost information and some of the issues that are raised in sharing this information.