The Materialized Form of Military Supply Chain Management Platform:Transaction Cost Economics Analysis
The materialized form of supply chain management platform based on transaction cost theory is composed of market, outsourcing (including internal outsourcing and external outsourcing), self-operation in house. It is suggested that application service provision (ASP) belongs to the third wave of outsourcing. Based on Williamsons heuristic model, Firstly, this paper deeply analyzes the efficiency of the ASP and the firms vertical boundary with asset specificity as variable expressed with k while the sum of the production cost difference expressed with C Δ and transaction cost difference withΔT as the dependence variable. It is found that If (ΔC + ΔT) >0, then the efficiency of the market is higher than that of the internal integration; If ( ΔC + Δ T)<0, it concludes to the contrary. Κ* is the threshold point, that is the vertical boundary. Secondly, this paper expounds the IT external outsourcing area. Research founds that with the development of IT and the good relationship established with ASP, the firms vertical boundary moves to the right side κ**. The range between κ*and κ** is the general IT external outsourcing Area. At the same time, the efficiency of IT external outsourcing is increased. Thirdly, background of internal outsourcing and its area is explained. It is found that, with the occurrence of oligopoly to IT industry, the boundary of the firm is adjusted to κ***and external market space shrinks. The area between κ***to κ*becomes the internal outsourcing space. As the supply chain management of Military, it is quite different with the general production enterprises. The platform of military supply chain management requires much more customizable, personality, and it is greatly dependent on the IT providers and IT quality/level. It shows the characteristics of Oligopoly. As a conclusion that IT internal outsourcing may be the best selection to the military supply chain management. The military appliance system may co-invest with the research bureau of the military in IT, and delivers the regarding service to internal ASPs.
military supply chain management platform IT operation in house IT internal outsourcing IT external outsourcing ASP
Xiangru Meng Shuyun Wang
Department of Transport and Logistics Engineering University of Shandong Jiaotong Jinan, Shandong Pr Department of Intelligent Robotics University of Yantai Yantai, Shandong Province, China
国际会议
2007 IEEE International Conference on Automation and Lofistics
山东济南
英文
2007-08-18（万方平台首次上网日期，不代表论文的发表时间）