Postponement and Information in a Supply Chain

Arbeitspapier

We model a supply chain consisting of a production facility, a distribution center and two differentiated markets. Demand information is used to mitigate the effects of uncertainty in the output markets. We study the firm's operational performance under alternative business processes, comparing early and delayed product differentiation. The comparison yields the value of postponement. Our results show that informational considerations have a paramount effect on the effectiveness of postponement strategies. They enable researchers and decisionmakers to performa cost-benefit analyses and quantify the anticipated effects of implementing postponement strategies. They also provide qualitative guidance regarding factors that affect the value of postponement.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Discussion Paper ; No. 1222

Classification and Topics

• Classification: Wirtschaft

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Anand, Krishnan S. ; Mendelson, Haim
• Event: Veröffentlichung
• (who): Northwestern University, Kellogg School of Management, Center for Mathematical Studies in Economics and Management Science
• (where): Evanston, IL
• (when): 1998

Further information

• Handle: http://hdl.handle.net/10419/221578
• Last update: 10.03.2025, 11:45 AM CET