ABSTRACT
Contents 6.1 Introduction ................................................................................... 98 6.2 Literature Review ............................................................................. 99 6.3 Demand Forecast Collaboration ...................................................... 101
6.3.1 Associated Supply Chain Collaboration Costs ........................ 103 6.3.1.1 Inventory Cost ..................................................... 103 6.3.1.2 The Contractor’s Acquisition Price and Suppliers’
Production Cost ................................................... 106 6.3.1.3 Collaborative SCM Cost ....................................... 107 6.3.1.4 Transaction Risk .................................................. 107 6.3.1.5 Loss Related to Supply Responsiveness .................... 108
6.4 Model .......................................................................................... 109
6.5 Numerical Examples ...................................................................... 115 6.5.1 Forecast Accuracy ............................................................... 115 6.5.2 Optimal Collaboration Level ................................................ 116
6.6 Conclusion ................................................................................... 117 References .............................................................................................. 118
6.1 Introduction Global markets are growing rapidly and competition is taking place not just between individual businesses, but along the entire value chain. Effectively managing these increasingly complex global relationships requires tight collaboration between business partners. Collaborative supply chain management is one of the most important driving forces of effective supply chain management and is recognized as a significant process that impacts profit creation, market share, competitive position, and the value of contractors and their suppliers. Collaborative supply chain management is therefore a rapidly evolving area of interest to academics and business practitioners.
