We analytically model a setting in which two product centers share a manufacturing process, the issue being to assign the shared costs in a way that induces rational product center managers to truthfully report private information needed for an ex-ante best investment decision. The shared...

This paper models cost assignment to products as part of an activity sharing contract between two product centers, each concerned with reducing cycle time for its jobs. The allocations serve as an incentive mechanism (in this case, one which induces truthful reports of private information). The...