Complementary sourcing, where an end product depends on both a supplier's and a manufacturer's engineering and production efforts, is ubiquitous in modern supply chains. A unique feature of complementary sourcing is that efforts by one party enhance the marginal value of the other party's...

Inspired by the popularity of the advertising model at search engines, many online retailing platforms have added a new revenue stream of advertising (i.e., sponsored ads) to their traditional commission-based business model. While this new hybrid model is intuitively appealing, questions on its...

Problem Definition: With heightened global uncertainty, supply chain managers are under increasing pressure to craft strategies that accommodate both supply and demand risks. While flexibility is a well-understood strategy to accommodate risk, there is no clear guidance on the optimal...

The distribution of potential evaporation is highly unstable due to complex human activities and climate changes. Therefore, it is of great significance for further understanding hydrological cycle to estimate potential evaporation distribution. Reasonable regionalization of potential...

Surveys suggest that supply chain risk is a growing issue for executives and that supplier reliability is of particular concern. A common mitigation strategy is for the buying firm to expend effort improving the reliability of its supply base. We explore a model in which a firm can source from...

We connect the mix-flexibility and dual-sourcing literatures by studying unreliable supply chains that produce multiple products. We consider a firm that can invest in product-dedicated resources and totally flexible resources. Product demands are uncertain at the time of resource investment,...

The practice of target pricing has been a key factor in the success of Japanese manufacturers. In the more commonly known demand-side approach, the target price for the supplier equals the manufacturer's market price less a percent margin for the manufacturer but no cost-improvement expenses are...

Supplier reliability is a key determinant of a manufacturer’s competitiveness. It reflects a supplier’s capability of order fulfillment, which can be measured by the percentage of order quantity delivered in a given time window. A perfectly reliable supplier delivers an amount equal to the...

Coproduction systems, in which multiple products are produced simultaneously in a single production run, are prevalent in many industries. Such systems typically produce a random quantity of vertically differentiated products. This product hierarchy enables the firm to fill demand for a...