In a multi-stage model of a bilateral supply chain, we study two postponement strategies that the downstream retailer may deploy to mitigate the supply yield risk originated from the upstream production process. The retailer could either postpone the procurement payment until after the yield is...

Problem Definition:This paper studies the sourcing of a monopoly firm that procures from multiple unreliable suppliers to meet its deterministic/price-dependent demand. The suppliers' production processes are unreliable and are modeled by correlated proportional random yields. Academic/Practical...