Journal
BIORESOURCES
Volume 13, Issue 2, Pages 2562-+Publisher
NORTH CAROLINA STATE UNIV DEPT WOOD & PAPER SCI
DOI: 10.15376/biores.13.2.2562-2577
Keywords
Wood processing residues; Reverse supply chain; Revenue-sharing; Pricing mode; Coordination
Categories
Funding
- National Natural Science Foundation of China [31400539]
- Fundamental Research Funds for the Central Universities [2572015CA01]
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A revenue-sharing contract was introduced into a three-echelon wood processing residue-based reverse supply chain model to maximize the supply chain profit and realize a win-win situation for all participants. The optimal expected supply chain profits under different decision policies and the acceptable range of revenue-sharing coefficients were analyzed. Finally, the model was applied in a case study where sawdust was recycled to produce black fungus. Results showed that revenue-sharing can effectively enable supply chain coordination. Within the domain of the revenue-sharing coefficients, the production cost decreased by 5.91% and the corresponding demand increased by 16.09%, resulting in an increase of 7.73% in the supply chain profit. A comparison was made between the three-echelon and a two-echelon supply chains, and the results showed that the two-echelon supply chain would become less competitive than the three-echelon supply chain with the increase of recycling cost. Additionally, the profit shares of all parties in the three-echelon supply chain depended mainly on the revenue-sharing coefficients, which were determined by the positions of the parties and their bargaining power.
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