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Cost benefit sharing-based coordination in logistics networks

Iwo V. Riha and Bernd Radermacher

International Journal of Information Technology and Management, 2009, vol. 8, issue 2, 161-177

Abstract: We present a comprehensive approach for an incentive system in logistics networks based on network-wide evaluation and reallocation of costs and benefits. We show that alternative allocations of resources based on sharing costs and benefits can give an incentive to the network-partners: Cost Benefit Sharing (CBS). It enables activity dependent reallocation of individual effects that reflect the costs and benefits of each party and systematically considers qualitative factors. A case study of a sourcing process concludes this paper.

Keywords: supply chain collaboration; profit sharing; network management; incentives; logistics networks; supply chain management; SCM; costs; benefits; cost benefit sharing. (search for similar items in EconPapers)
Date: 2009
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