Strategic information sharing in supply chain with value-perceived consumers

Abstract

PurposeInformation sharing is one of essential collaboration methods for building effective system-level disruption responses and communication for supply chain resilience. However, supply chain members are often reluctant to share the members' business information for fear of losing competitiveness. To facilitate the cooperation among these members, the supply chain members' should be made aware of the value of information. As a result, the purpose of this paper is to quantify the benefit of information sharing and evaluate its magnitude under various factors.Design/methodology/approachIn this paper, information sharing is measured in a two-stage supply chain containing a manufacturer and a retailer. A demand function is constructed as a linear combination of a first-order autoregressive [AR(1)] process, the retail and reference prices. The values of information sharing are quantified for four scenarios: (1) no information sharing, (2) full information sharing, (3) limited information sharing and (4) partial information sharing. Based on the four scenarios, the conditions for valuable information sharing are determined. In addition, the impact of several demand parameters on the usefulness of information sharing is analyzed.FindingsWhen the demand function is a pure AR(1) process (i.e. there is no impact from the retail and reference prices), information sharing is always valuable regardless of the autoregressive coefficient. Under the influence of the retail price and consumer behavior via the reference price, information sharing is not always beneficial. The boundaries for useful information sharing are analytically constructed. In addition to full information sharing, this study also quantifies the value of information under a partial sharing scheme. The results indicate that the information is more valuable as long as the information is inducible.Originality/valueThis study highlights several specific conditions for a beneficial information sharing agreement in consideration of consumer behaviors. These conditions enable supply chain members to design a sustainable partnership.

Quantifying the influence of supplier relationship management and supply chain performance

“…Supplier Collaboration, the variable in question quantifies the extent of collaboration and information exchange between enterprises and their suppliers. This statement elucidates the degree to which firms partake in collaborative endeavors and exchange information with suppliers in order to enhance cost effectiveness within their supply chains (Tai et al, 2022). Supplier Development, this variable evaluates the endeavors undertaken by enterprises to enhance the capabilities and resources of their suppliers.…”

Resilience evaluation of low-carbon supply chain based on improved matter-element extension model

“…Information response resilience is the ability of enterprises in the supply chain to receive and process information. Information response resilience includes information technology level, information response ability and information distribution accuracy [ 43 ]. The level of information technology covers the development of digital technologies such as the Internet of Things, big data, cloud computing, machine learning, blockchain and cyberphysical systems of the entire supply chain, through which information technology can not only enhance the visibility and transparency of the supply chain, but also monitor and warn risks in the supply chain in a timely manner [ 44 , 45 ].…”

Understanding the role of demand and supply integration in achieving retail supply chain agility: An information technology capability perspective

“…Kirchoff et al (2011) view the cooperation and interdependence of marketing and supply chain functions as a theoretical framework of DSI. But little research concerns how to translate the ability to connect with customers into perceptions of DSI (Jüttner et al, 2010; Kilimci et al, 2019; Tai et al, 2022). Currently, DSI represents an approach to bundling the operational propositions of demand‐side and supply‐side customers to create value (Gligor et al, 2019).…”