Mathematical Study for the Value of Information Sharing in Decentralized Supply Chain

This paper considers some scenarios concerning the sharing of three information simultaneously, namely, the lead-time between supplier and warehouse, the lead-time between warehouse and retailer, and the customers' demand. We treat the case of a single product in a serial supply chain. We focus our approach on the decentralized decision, in which, the objective of each link is to minimize its own cost. The logistics cost of each link in the supply chain allows us to identify the value of sharing. For this, we detail a mathematical study, integrating resolution algorithm.