Information Systems and Coordination in Supply Chains

The evolution of information systems from transaction-oriented systems to more collaborative systems has created enormous efficiencies in supply chains and distribution channels. The performance of these supply chains depends critically on the rules for information sharing and governance of the relationships. We study a marketing channel with a single manufacturer and multiple retailers (a two tier supply chain) under different scenarios of inventory location and information sharing and investigate the effect on inventory, quantities ordered and on manufacturer´s profit, retailers´ profits and total channel profit.