Study On Coordination Between Buyer And Seller With Uncertain Delivery Time

With the development of science and technology, information industrybooming, economic globalization, the traditional competition betweencompanies has turned into time-based competition. In this paper, we studythe supply chain coordination with single manufacturer and single buyertrading with short life cycle products, with characteristics of uncertainty indemand, price, and delivery time. We study how to determine the optimalproduction capacity based on classification of buyer type and how todetermine the efficiency of every uncertainty variable. Specifically, the studyin this article should be divided into two aspects:(1)"Delivery time strategy based on price differences," in which wetake manufacturer’s production capacity into account when establish thesupply chain coordination model. Specifically, we simulate the case thatwhen demand, price and delivery time are inter-related, how to classify buyeras Lead Time Sensitive type or Price Sensitive type. We study how thechange of various system parameters (demand, price, delivery correlationcoefficient) affects delivery time and income. Research results theoreticallyguide the manufacturer to adjust their production capacity to get the optimumdelivery time and profits. Research results shows that manufacturer’s primarytask is to analyze the relationship between product price and demand anddelivery time to access the buyer type, and then determine the mostreasonable delivery strategy.(2)"Analysis on buyer-seller collaboration revenue model withuncertain delivery time and demand" We consider a supply chain system inwhich the buyer and the manufacturer are faced with random demand over aselling period and uncertain delivery time. In order to analyze the profit difference under the centralized decision-making and decentralizeddecision-making of supply chain, we devote to assess the efficiency ofmanufacturer–buyer coordination in dealing with every uncertainty variable.And we also focus on information sharing and collaboration under whatcircumstances are the most effective. We get that it is wiser to reduce thedelivery time uncertainty when it is too high. Research results can helpmanagers recognize that whether their centralized decisions are theappropriate strategy or not when they face a variety of uncertain situations.