Quantity flexibility contracts under bayesian updating

In this paper, we consider a decentralized supply chain consisting of two independent players—a manufacturer and a retailer.

Under a quantity flexibility contract, the retailer first proposes an initial forecast as the production reference to the manufacturer.

Under risk-neutrality, “selling the firm” to the agent does not implement the first-best because it precludes state-contingent trades.

We model the incentives of both parties and investigate the effect of flexibility ω, transfer price c and number of Bayesian updates n on the performance of two parties.Then she uses Bayesian procedure to update demand information, and makes ultimate purchase commitment, which is constrained by the negotiated flexibility and the manufacturer's production.We model the incentives of both parties and investigate the effect of flexibility on the performance of two parties.In this example, BIO 484 Hematology (4); 2,4, the first number indicates lecture contact hours, and the second number indicates lab or studio contact hours. The total contact time may exceed the course credit hours.When no numerals follow the number of credits, the course’s contact hours per week match the number of course credit hours (with one hour comprising 50 minutes of meeting time).The Bayesian decision process accounts for the trade-off between improving forecast accuracy and deteriorating cost efficiency (with respect to implementing a decision) as the storm evolves, which is characteristic of the above-mentioned decisions.The specific application addressed in this paper is a single-supplier, multi-retailer supply chain system in which demand at each retailer location is a random variable that is affected by the trajectory of an observed hurricane.The solution methodology is illustrated through numerical examples, and the benefit of the proposed approach compared to a traditional approach is discussed.LOG INTO MY NMHU Directory Libraries Apply Now Our Faculty Academic Calendar Campus Map Class Schedule HU Vision 2020 Campus Police Statewide Centers Center For Teaching Excellence Administration Open Records Online Documents Jobs at HU Contact Us Courses are listed by course number followed by course title.Courses offered concurrently at more than one level are listed with a split number (e.g., 234-334).The number in parentheses following the title indicates the number of credits for that course.