A note on the random yield from the perspective of the supply chain

Coordination in a Single-Retailer Two-Supplier Supply Chain under Random Demand and Random Supply with Disruption

“…And an analytical solution to the distributor's ordering decision is derived when the production yield follows the uniform distribution. Li et al [13] extended and provided new results on the supply chain model with producer's random yield proposed by Keren [12]. They derived analytic solutions of the supply chain decisions under generalized yield distribution and pointed out that the distributor should order more than the demand if and only if his/her marginal profit from selling this product exceeds a threshold.…”

Analysis of Two-tier Supply Chains with Multiplicative Random Yields

“…Li et al (2012) extended the results and presented a more comprehensive analysis assuming that the yield is a general continuous random variable. The results given in these papers are general but mathematically complicated, making it difficult to use them when devising efficient supply contracts.…”

Incentives to improve the service level in a random yield supply chain: The role of bonus contracts

“…One category focuses on the ex ante contract design, order and production decisions of the supply chain to mitigate the random yield risk. For example, Keren (2009) andLi et al (2012) consider the order and production decisions in a random yield supply chain with known demand. The difference is that Li et al (2012) study a more generalized distribution of yield randomness.…”

“…For example, Keren (2009) andLi et al (2012) consider the order and production decisions in a random yield supply chain with known demand. The difference is that Li et al (2012) study a more generalized distribution of yield randomness. Wang (2009) compares the role of traditional and vendor-managed-inventory arrangements between a manufacturer and a distributor in mitigating the random yield risk.…”