Quantitative Evaluation of the Supply Chain Collaboration

Abstract

Supply Chain Collaboration (SCC) is defined as a status of optimized overall utility of the supply chain under the precondition of satisfactions of each supply chain member. The achievement of SCC is relative to the cooperation mechanisms or contracts among members. To evaluate the degree of SCC in different contracts, a quantitative index of Collaboration Percent (CP) is defined, which can be used to evaluate the efficiency of the supply chain resources usage and direct the design and improvement of the contracts among supply chain members. The results of theoretic analysis and numerical experiments proved the validation of the quantitative evaluation index CP.