An approach for flexible customer-supplier relationships with fixed delivery contracts and quota agreements

https://doi.org/10.3182/20090603-3-RU-2001.0434Get rights and content

Abstract

Frame contracts are widely used to determine quantities and prices in customer-supplier relationships for long-time horizons. Additionally quota agreements can be defined which regulate the delivery share for a certain product between two or more suppliers. This paper describes an approach to reach good quantity allocations in single time periods by regarding supplier rebates and special offers and at the same time maintaining the contract restrictions in the frame contract horizon. As basis a framework is introduced that defines flexibility contracts and coordination rules between the participants.

Keywords

supply chain
quantity flexibility contract
capacity
quota agreement
frame contract
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