Problem definition: The U.S. influenza (flu) vaccine supply chain is decentralized and experiences frequent supply and demand mismatches caused by two key factors: (1) the vaccine production process (yield) is highly uncertain; and (2) individuals are self-interested and do not completely take into account positive and negative externalities that they impose on others. To improve matching of supply and demand, we counteract these factors by developing an ex ante budget-neutral incentive program. Academic/practical relevance: We establish the sources of inefficiency in the flu vaccine supply chain. To eliminate the inefficiency, we develop a two-sided incentive program that policymakers can implement to finance vaccines under an ex ante balanced budget. Methodology: We model the flu vaccine supply chain as a decentralized system consisting of self-interested individuals on the demand side, and a profit-maximizing manufacturer with uncertain yield on the supply side. We use backward induction to characterize the subgame-perfect equilibrium of the sequential game that models the interactions between individuals and the manufacturer. Results: We develop a two-sided incentive program that proposes “vaccination incentives” to be given to individuals on the demand side, and “a menu of transfer payments” between the social planner and manufacturer on the supply side. When the realized vaccine supply is high (or low), our incentive program provides positive (negative) vaccination incentives for individuals to stimulate (or curb) the demand and eliminate positive (or negative) externalities by making vaccination more affordable (or costly). When social benefits from vaccination are significantly high, our incentive program uses a menu of transfer payments to penalize (or subsidize) the manufacturer for low (or high) yield realizations so that it produces the socially optimal quantity. We show that our incentive program can attain the social optimum, maintain an ex ante balanced budget (i.e., budget-neutral in expectation), and distribute the maximum social welfare between individuals and the manufacturer arbitrarily. Managerial implications: Vaccination incentives to individuals can ensure their access to the vaccine, but they are not enough to entice the manufacturer to ensure vaccine availability. A menu of contracts contingent on realized yield provides necessary incentives to the manufacturer and assures the availability.
The supply chain is a thriving industry where numerous parties have different interests. Subsequently, the immense volume of data produced is difficult to audit. Some information can be lost or intentionally distorted in the process. Blockchain as an open, public, borderless, neutral, and censorship-resistant architecture can significantly complement supply chains. A new supply chain architecture is proposed in this work, where the tokenized directed acyclic hypergraph (DAG) represents real-world production processes. An anti-aerosol respirator manufacturing is used as an illustration example. By tokenizing all parts of multi-component products, supply chain data is automatically timestamped and secured. Moreover, the DAG design allows one to trace-back all the elements of the final product to their origin. Blockchain can formally audit the entire supply chain without the need to go from place to place. A single incorruptible operations log creates an enabling environment for an unbiased reputation system to emerge.
The purpose of this research is to examine the green supply chain (GSC) financing decisions of manufacturers and capital-constrained retailers in order to establish a Stackelberg game model under decentralized and centralized decision-making. This paper studies the influence of retailers’ choice of trade credit or bank loan financing strategy on a GSC’s performance and analyzes their decision-making tendency. The results show that manufacturers should provide trade credit and participate in retailers’ financing decisions to avoid double marginal effects under both centralized and decentralized decision-making. Interestingly, the optimal value of green marketing effort and retailer order quantity was twice as high as the decentralized under the centralized decision, indicating that the centralized decision could better improve GSC’s financing efficiency. Especially when the trade credit financing strategy is feasible, this effect is more significant. Finally, the outcomes are verified through numerical simulation, which references GSC practitioners in management decisions.
Abstract Service supply chain management is a complex process because of its intangibility, high diversity of services, trustless settings, and uncertain conditions. However, the traditional evaluating models mostly consider the historical performance data and fail to predict and diagnose the problems’ root. This paper proposes a distributed, trustworthy, tamper-proof, and learning framework for evaluating service supply chain performance based on blockchain and adaptive network-based fuzzy inference systems (ANFIS) techniques, named Di-ANFIS. The main objectives of this research are as follows: (1) presenting hierarchical criteria of service supply chain performance to cope with the diagnosis of the problems’ root; (2) proposing a smart learning model to deal with the uncertainty conditions by a combination of neural network and fuzzy logic; and (3) introducing a distributed blockchain-based framework due to the dependence of ANFIS on big data and the lack of trust and security in the supply chain. Furthermore, the proposed six-layer conceptual framework consists of the data layer, connection layer, blockchain layer, smart layer, ANFIS layer, and application layer. This architecture creates a performance management system using the Internet of Things, smart contracts, and ANFIS based on the blockchain platform. The Di-ANFIS model provides a performance evaluation system without needing a third party and a reliable intermediary that provides an agile and diagnostic model in a smart and learning process. It also saves computing time and speeds up information flow.
Traceability has emerged as a prime requirement for a multi-tier and multi-site production. It enables visibility and caters to the consumer requirements of transparency and quality assurance. Textile and clothing industry is one such example that requires traceability implementation to address prevailing problems of information asymmetry and low visibility. Customers find it difficult to access product data that can facilitate ethical buying practices or assure product authenticity. Besides, it is challenging for stakeholders to share crucial information in an insecure environment with risk of data manipulations and fear of losing information advantage. In this context, this study investigates and proposes a blockchain-based traceability framework for traceability in multi-tier textile and clothing supply chain. It conceptualizes the interaction of supply chain partners, and related network architecture at the organizational level and smart contract and transaction validation rules at the operational level. To illustrate the application of the proposed framework, the study presents an example of organic cotton supply chain using blockchain with customized smart contract and transaction rules. It finally demonstrates the applicability of the developed blockchain by testing it under two parameters. The proposed system can build a technology-based trust among the supply chain partners, where the distributed ledger can be used to store and authenticate supply chain transactions. Further, the blockchain-based traceability system would provide a unique opportunity, flexibility, and authority to all partners to trace-back their supply network and create transparent and sustainable supply chain.
Mohammed Alkahtani, Qazi Salman Khalid, Muhammad Jalees, Muhammad Omair · 6 authors
The agricultural industry is highly underdeveloped and requires transformation in technology for food safety and reliability. A digital world is relying on blockchain technology for the successful implementation of sustainable e-agricultural supply chain management (e-Agri-SCM). In current advancements of blockchain in digital marketing, product website design (web design) is essential to streamline the requirements of the customer and the expectations of supply chain partners. The current research has incorporated the blockchain effect by web design elements into the agricultural supply chain management (Agri-SCM) study. In addition, partners in the digital marketing supply chain (DM-SCM) are also facing issues to identify significant web design elements-based blockchain technology to gain maximum profit. Therefore, a cooperative (Co-op) sustainable e-agricultural SCM model is developed in this study by considering the web design index and variable demand to decide shipments, selling price, cycle time, and advertisement cost for agriculture products. The uncertainties in the model due to intangible web design elements and basic costs are dealt with by the application of the fuzzy system whereas carbon emission is also considered for providing cleaner production. A real-time application of the proposed model is done by undertaking five different cases based on mutual share, demand curve, and advertisement budget among participants. The sensitivity analysis is also performed to identify important factors of the total profit. Findings of this work include significant web design elements (WDEs) i.e., web graphics, search engine optimization, cyber-security, fast loading, and navigation, as essentials for digital marketing to convince customers towards the product in a global SCM. The numerical results and managerial insights are advantageous for managers to get maximum profit by cooperative and digital marketing strategies to attain e-Agri-SCM.
The demands for the fairness, security, and efficiency of the supply chain have grown significantly due to the rise of globalization. However, some problems of the information flow, logistics, and capital flow in the supply chain remain a challenge, such as the information asymmetry between upstream and downstream, substandard quality of goods, difficulty in traceability, and default of payment. Therefore, this paper proposes a blockchain-based supply chain framework (SESCF), which solves the supply chain problems securely and efficiently. First, the use of blockchain and smart contracts ensures the information symmetry in the supply chain system. Second, the radio frequency identification (RFID) provides a unique identity of goods, which helps in real-time quality monitoring. Additionally, the immutability and distributed storage of the blockchain play an important role in tracking the origin of goods. Third, the efficient payment channel is used to solve the problem of payment defaults. Furthermore, simulations of smart contracts along with the security analyses are presented in this paper. We also implement a blockchain-based supply chain system (SescfDapp), which is built upon a Consortium blockchain. Large-scale experiments and detailed analysis prove the feasibility and efficiency of our proposed system.
Youness Tribis, Abdelali El Bouchti, Houssine Bouayad
Initially developed for Bitcoin cryptocurrency, Blockchain Technology (BCT) is a decentralized transaction managing technology that provides security, anonymity and data integrity in transactions without the need of any trusted third party. The interest in BCT has been grown, as research topic for many fields, such as finance, health, government, agriculture and many particular Supply Chain (SC) industries. However, there is a lack of systematic literature reviews (SLR) on existing research concerning how BCT is well relevant in SC. This paper conducts a systematic review in order to examine all pertinent research on SC based on BCT. The main inspiration for this work was to synthesize existing evidence, classify research tendencies available in the literature, and identify open themes and gaps for development in this discipline. However, 45 primary papers have been extracted from scientific databases. This systematic review provides direction for future research regarding the applications of BCT for SC
Purpose The paper aims to present a systematic literature review (SLR) showing the benefits, challenges and future research of blockchain technology (BT) for the supply chain (SC), also suggesting how the features of BT can change the organizational aspects of the SC. Design/methodology/approach An SLR has been conducted to detect papers that contained the word “Blockchain” in their titles, keywords or abstracts. Consequently, a second filter to analyze BT papers for the SC was applied. Findings This paper shows through 31 variables classified into positive, negative and future directions of technology for the SC. For instance, BT will reduce time consuming of operations management and payments using smart contracts. In addition, integrating BT with other technologies will allow product tracking and sustainable production management. Research limitations/implications The selection of papers is limited to Scopus database and specifically to the Management Journal . Practical implications BT creates collaborative peer-to-peer and business-to-business markets. The technology automates several tasks such as order management, payment for goods, waste reduction and process control. Therefore, its use within the SCs will improve the productivity and profits of the participants. Originality/value This paper is focused on BT for the SC area with 60 articles analyzed. In addition, 13 variables on benefits, eight variables on challenges and 12 points on future research directions were analyzed. This work will help researchers and entrepreneurs to deepen about the changes that BT offers in SC.
In the e-commerce market, many e-commerce platforms act as resellers when selling products, and act as agents when selling other products. In the sales process, e-commerce platforms can either build their own blockchain anti-counterfeit traceability platforms or cooperate with third-party blockchain anti-counterfeit traceability platforms. This will generate four scenarios: (a) reseller, building its own platform (RE); (b) reseller, cooperating with a third-party platform (RO); (c) agent, building its own platform (ME); (d) agent, cooperating with a third-party platform (MO). Therefore, this paper constructs a differential game model under four modes to explore the interaction between the choice of sales mode and the choice of anti-counterfeit traceability service strategy. The results show that suppliers’ profits are influenced by various aspects. On the one hand, in small-scale markets, the situation in which suppliers can realize higher profits evolves from ME to RO as the wholesale price increases, and in large-scale markets, suppliers are more profitable in the ME mode. On the other hand, with the increase of market scale and the decrease of unit price of anti-counterfeit traceability service of third-party platform, the situation that suppliers can achieve higher profit evolves from RE to RO and then to RE. For e-commerce platform, self-built platform is a better choice. In the small-scale market, as the market size increases, the cost performance of anti-counterfeit traceability service decreases, and the best choice for e-commerce platform evolves from resale to agency sales, and in the large-scale market, the best choice for e-commerce platform is resale.
We take a zero tolerance to any situation where fraudulent research is published in our journals. As a result, this article has been retracted by the Publisher because it is suspected to be a nonsensical computer-generated publication with a number of tortured phrases and irrelevant references. Additional measures have been implemented to prevent these issues from reoccurring. EDP Sciences is extremely grateful to anonymous whistleblowers and the Problematic Paper Screener for bringing this case to our attention for further investigations.
Mikuláš Černý, Marián Gogola, Stanislav Kubaľák, Ján Ondruš
Processes associated with the transformation of inputs (raw materials, components) into outputs (goods, finished products) and their transport to the place of consumption are an essential part of the functioning of today’s society. These processes are becoming more complex with the gradual globalization. As the complexity of the supply chain increases, so does the risk of disruption. There are problems such as a lack of information on the origin of the products, a lack of real-time information and, with that, a problem with tracking shipments. With a large number of documents, the risk of fraud and forgery also increases. Due to the large number of stakeholders in logistics chains, the level of transparency is being lost. One possible solution to eliminate the risk of supply chain complexity is to integrate blockchain technology into the supply chain. Thanks to properties such as distribution, immutability, transparency, blockchain can have great potential to solve the problems of the traditional supply chain. The aim of this paper is to describe the basic problems of the traditional supply chain, which can disrupt its course. In the next part, we will introduce the basics of blockchain technology and describe what processes of the traditional supply chain could be replaced by this technology.
This study aims to solve the credit problems in the supply chain commodity and currency circulation links from the perspective of the ledger, while the game model method has been adopted. The research firstly reviews the relationship between distributed ledger technology and the essential functions of currency. Then, by constructing two-agent single-period and multi-period game models in the entire supply chain, the researchers analysed the incentive mechanism and equilibrium solution of distributed nodes of Central Bank Digital Currency (CBDC). The results of this study include the incentive mechanism and optimization of distributed nodes based on licensed distributed ledger technology, which is an important issue that CBDC faces when performing currency functions. The implications of this study mainly cover the limitations of the underlying technology of the public chain and its reward mechanism in the supply chain management and provide support for the rationality of the CBDC issuance mechanism based on state-owned commercial banks, which provides a reference for the CBDC practice. The main value of the research not only serves the decision-making department of the CBDC issuance but also provides ideas on the operation mode of digital currency for the field of digital currency research.
In the high-stakes race to develop more scalable blockchains, some platforms (Cosmos, EOS, TRON, etc.) have adopted committee-based consensus protocols, whereby the blockchain's record-keeping rights are entrusted to a committee of elected block producers. In theory, the smaller the committee, the faster the blockchain can reach consensus and the more it can scale. What's less clear, is whether this mechanism ensures that honest committees can be consistently elected, given voters typically have limited information. Using EOS' Delegated Proof of Stake (DPoS) protocol as a backdrop, we show that identifying the optimal voting strategy is complex and practically out of reach. We empirically characterize some simpler (suboptimal) voting strategies that token holders resort to in practice and show that these nonetheless converge to optimality, exponentially quickly. This yields efficiency gains over other PoS protocols that rely on randomized block producer selection. Our results suggest that (elected) committee-based consensus, as implemented in DPoS, can be robust and efficient, despite its complexity.
We investigate how key features associated with the Proof-of-Work consensus mechanism of Bitcoin (commonly referred to as mining) affect pricing. In a controlled laboratory experiment, we observe that price bubble formation can be attributed to mining. Moreover, overpricing is more pronounced if the mining capacity is centralized to a small group of individuals. The order book data reveal that miners seem to play a crucial role in bubble formation. Further probing the mechanism in a second study, we find that both mining costs and decisions jointly with the sluggish rate of supply of the asset contribute to the bubble formation. Our results demonstrate that erratic pricing is an inherent feature of cryptocurrencies based on a mining protocol, thus seriously limiting any prospects for such assets becoming a medium of exchange. This paper was accepted by Yan Chen, behavioral economics and decision analysis. Funding: The funding provided by the University of Heidelberg, Hanken Foundation [Grant 271-6250], and Durham University is gratefully acknowledged. Supplemental Material: The online appendix and data files are available at https://doi.org/10.1287/mnsc.2022.01238 .
This study introduces a dual‐channel supply chain including a supplier and a retailer with capital constraints, in which the retailer can apply for the trade credit financing from the supplier. This work investigates the effects of two typical behaviors, free riding behavior and consumer switching behavior, on inventory, ordering, and sales effort decisions in decentralized and centralized decision situations with stochastic demand. In order to achieve the optimal performance in the centralized system, this research designs a partial buyback contract to coordinate the supply chain. Furthermore, numerical analysis is provided to test the feasibility of the model. The results indicate that in the dual‐channel supply chain with the above two behaviors, (1) the optimal sales effort level, optimal order quantity, the optimal offline, and online profits under the centralized decision‐making are more than those under decentralized scenario, except for the optimal inventory level; (2) the increase of the offline consumer switching rate will lead to the reduction of the offline order quantity and the offline expected profit and raise the online inventory level and the online expected profit; (3) the increase of the online consumer switching rate will raise the offline order quantity and the offline expected profit but has no significant impact on the online inventory level and the online expected profit; (4) the increase of the free riding coefficient of the supplier, no matter whether in decentralized or centralized systems, will reduce the offline sales effort level, the offline expected profit, and the online expected profit and raise the inventory level. Finally, this work provides some managerial implication.
In agri-food supply chains (ASCs), consumers pay for agri-food products produced by farmers. During this process, consumers emphasize the importance of agri-food safety while farmers expect to increase their profits. Due to the complexity and dynamics of ASCs, the effective traceability and management for agri-food products face huge challenges. However, most of the existing solutions cannot well meet the requirements of traceability and management in ASCs. To address these challenges, we first design a blockchain-based ASC framework to provide product traceability, which guarantees decentralized security for the agri-food tracing data in ASCs. Next, a Deep Reinforcement learning based Supply Chain Management (DR-SCM) method is proposed to make effective decisions on the production and storage of agri-food products for profit optimization. The extensive simulation experiments are conducted to demonstrate the effectiveness of the proposed blockchain-based framework and the DR-SCM method under different ASC environments. The results show that reliable product traceability is well guaranteed by using the proposed blockchain-based ASC framework. Moreover, the DR-SCM can achieve higher product profits than heuristic and Q-learning methods.