The optimization study on profit allocation among partners in supply chain alliance based on the Shapley Value

2008 ◽  
Author(s):  
Huo Hong ◽  
Wu Yanhong
Keyword(s):  
Supply Chain ◽  
Shapley Value ◽  
Profit Allocation ◽  
The Shapley Value ◽  
Optimization Study

scholarly journals A Novel Algorithm for Profit Distribution of Sustainable Development Using E-Commerce Supply Chain

2021 ◽  
Vol 2021 ◽  
pp. 1-9
Author(s):  
Li Wei
Keyword(s):  
Sustainable Development ◽  
Supply Chain ◽  
Income Distribution ◽  
Distribution Coefficient ◽  
Shapley Value ◽  
Power Supply ◽  
Correction Coefficient ◽  
Time Cost ◽  
Profit Distribution ◽  
The Shapley Value

E-commerce supply chain actually deals with the acquisition of the raw materials, their timely processing, and on-time delivery to the right place. It deals with a number of processes such as supply and demand, managing order entry, and inventory tracking. Now profit distribution models are actually stochastic models that are used to optimize the gains and profits in a particular business. They actually generate modern time solutions to the existing problems in a sustainable environment. However, in order to solve the problems existing in the traditional profit distribution algorithm of the e-commerce supply chain, such as low distribution accuracy and large time cost, a profit distribution algorithm of the e-commerce supply chain under the concept of sustainable development was designed. It was supported by the concept of sustainable development, and the coefficient of income distribution is calculated according to the equilibrium bidding strategy of supply chain alliance and its members, net present value of income distribution, total investment, minimum expected rate of return on investment, and other parameters. First, calculate the Shapley value of the profit distribution of the power supply chain, and obtain the correction coefficient through the correction matrix, dimensionless processing, and analytic hierarchy process. Use the correction coefficient to correct the Shapley value and the income distribution coefficient to realize the design of the profit distribution algorithm for the power supply chain. The experimental results show that the algorithm has low relative error rate, high precision, and short time cost of profit distribution coefficient calculation.

Application of Shapley Value Method in Profits Allocation of Cooperation of Enterprises, Colleges and Institutes

2010 ◽  
Vol 40-41 ◽  
pp. 425-429
Author(s):  
Shu Qin Wu
Keyword(s):  
Supply Chain ◽  
Empirical Analysis ◽  
Shapley Value ◽  
Quantitative Research ◽  
Allocation Mechanism ◽  
Qualitative And Quantitative ◽  
Profit Allocation ◽  
Allocation Methods

Cooperation of enterprises, colleges and institutes in essence is the management of knowledge supply chain. The cooperation can bring about excess earnings, with fair and reasonable profit allocation playing the role of power mechanism which facilitates cooperation of partners. We adopt a method that combines qualitative and quantitative research and establishes the profit allocation mechanism bonding cooperation of enterprises, colleges and institutes. Empirical analysis of cooperation profits allocation methods are carried out with the application of Shapley value.

scholarly journals Improved Weighted Shapley Value Model for the Fourth Party Logistics Supply Chain Coalition

2013 ◽  
Vol 2013 ◽  
pp. 1-5 ◽  
Author(s):  
Na Xu
Keyword(s):  
Supply Chain ◽  
Shapley Value ◽  
Numerical Study ◽  
Allocation Mechanism ◽  
Analytic Hierarchy ◽  
Profit Allocation ◽  
Fourth Party Logistics ◽  
Weighted Shapley Value ◽  
The Individual ◽  
Value Model

How to make the individual get the reasonable and practical profit among the fourth party logistics supply chain coalition system is still a question for further study. Considering the characteristics of the fourth party logistics supply chain coalition, this paper combines Shapley Value with Distribution according to Contribution, two methods in the application, and then adjusts the profit allocated to each member reasonably based on the actual coalition situation named improved weighted Shapley Value model. In this paper, we first analyze the fourth party logistics supply chain coalition profit allocation models, the classical Shapley value method. Then, we analyze the weight of individual enterprise in the coalition by the analytic hierarchy process. To each enterprise, the weight is determined by the investment risks, information divulging risks, and failure risks. Finally, the numerical study shows that the profit allocation method improved weighted Shapley value model is relatively rational and practical. Thus, the proposed combined model is a useful profit allocation mechanism for the fourth party logistics supply chain coalition that the contribution and risks are fully considered.

Incentives and Emission Responsibility Allocation in Supply Chains

2020 ◽  
Author(s):  
Sanjith Gopalakrishnan ◽  
Daniel Granot ◽  
Frieda Granot ◽  
Greys Sošić ◽  
Hailong Cui
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Cooperative Game ◽  
Shapley Value ◽  
Operations Management ◽  
Ghg Emissions ◽  
Total Carbon ◽  
Pollution Level ◽  
Maximum Deviation ◽  
The Shapley Value

Because greenhouse-gas (GHG) emissions from the supply chains of just the 2,500 largest global corporations account for more than 20% of global emissions, rationalizing emissions in supply chains could make an important contribution toward meeting the global CO2 emission-reduction targets agreed upon in the 2015 Paris Climate Agreement. Accordingly, in this paper, we consider supply chains with joint production of GHG emissions, operating under either a carbon-tax regime, wherein a regulator levies a penalty on the emissions generated by the firms in the supply chain, or an internal carbon-pricing scheme. Supply chain leaders, such as Walmart, are assumed to be environmentally motivated to induce their suppliers to abate their emissions. We adopt a cooperative game-theory methodology to derive a footprint-balanced scheme for reapportioning the total carbon emissions amongst the firms in the supply chain. This emission responsibility-allocation scheme, which is the Shapley value of an associated cooperative game, is shown to have several desirable characteristics. In particular, (i) it is transparent and easy to compute; (ii) when the abatement-cost functions of the firms are private information, it incentivizes suppliers to exert pollution-abatement efforts that, among all footprint-balanced allocation schemes, minimize the maximum deviation from the socially optimal pollution level; and (iii) the Shapley value is the unique allocation mechanism satisfying certain contextually desirable properties. This paper was accepted by Jayashankar Swaminathan, operations management.

Research on Improved Shapley Value Based Profit Allocation of Agricultural Supply Chain

2013 ◽  
Vol 709 ◽  
pp. 731-734
Author(s):  
Xiao Jing Chen
Keyword(s):  
Supply Chain ◽  
Shapley Value ◽  
Agricultural Products ◽  
Concerted Effort ◽  
The Sustainable Development ◽  
The Core ◽  
Profit Allocation ◽  
The Difference ◽  
The Stability ◽  
Agricultural Supply

The profit allocation as the core factor of the whole agricultural supply chain determines the sustainable development of the whole industry; it will become more complex especially considering the risk of agricultural products. The profit allocation of agricultural supply chain based on Shapley value method of considering the risk factor is studied. The composition of agricultural supply chain is firstly described and the four common risks in the agricultural supply chain are discussed. Then, a new method considering the four risks to allocate the profit in agricultural supply chain is presented. Finally, the presented method of profit allocation is used to solve a profit allocation problem in practice. The results showed the Shapley value of profit allocation after considering the risks is smaller than classic Shapley value and the difference value is caused by the risks. The risks should be eliminated by concerted effort to enhance the stability of the supply chain.

scholarly journals Revenue Distribution of Hybrid Channel Supply Chain Based on Modified Shapley Value with Cost

2021 ◽  
Vol 2021 ◽  
pp. 1-8
Author(s):  
Jin Sha ◽  
Sisi Zheng
Keyword(s):  
Supply Chain ◽  
Shapley Value ◽  
Chain Model ◽  
The Shapley Value ◽  
Online Retailers ◽  
Supply Chain Model ◽  
Shapley Values ◽  
Object Of Study ◽  
The Cost ◽  
The Impact

The reasonable distribution of revenue determines not only the coordination but also the development of supply chain. A hybrid channel supply chain model composed of manufacturer and traditional and online retailers was identified as the object of study, decision models under different cooperation modes were built, different revenues of supply chain members and overall were analyzed, satisfaction of characteristic function required by the Shapley value was proved, and the Shapley values of revenue distribution were calculated. In view of the shortcoming of the Shapley value method which takes contribution margin as the only consideration and ignores the impact of other factors such as cost on revenue distribution, the cost correction model was built by using production and sales cost to modify the traditional Shapley value; the reasonable distribution of individual benefits under the premise of maximizing the overall revenue of hybrid channel supply chain was realized.

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