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1、MANUFACTURING&SERVICEOPERATIONSMANAGEMENTinforms®Vol.10,No.4,Fall2008,pp.609–624doi10.1287/msom.1070.0188issn1523-4614eissn1526-54980810040609©2008INFORMSInventoryService-LevelAgreementsasCoordinationMechanisms:TheEffectofReviewPeriodsElenaKatok,DouglasThomas,AndrewDav
2、isSupplyChainandInformationSystemsDepartment,SmealCollegeofBusiness,PennStateUniversity,UniversityPark,Pennsylvania16802{ekatok@psu.edu,dthomas@psu.edu,amd361@psu.edu}Asupplierstockinggoodsfordeliverytoaretailermayfacea(finite-horizon)service-levelagreement(SLA).Inthisconte
3、xt,theSLAisacommitmentbyasuppliertoachieveaminimumfillrateoveraspecifiedtimehorizon.ThiskindofSLAisanimportant,butunderstudiedcoordinationmechanism.Wefocusontheimpactoftwocontractparameters:thelengthofthereviewperiodandthemagnitudeofthebonusformeetingorexceedingtheservice-le
4、veltarget.Forasupplierfollowingabasestock(order-up-to)inventorypolicy,increasingthebonusincreasesoptimalsupplierstockinglevels,whereaslengtheningthereviewperiodmayincreaseordecreaseoptimalstockinglevels.Weinvestigatethesemechanismsinacontrolledlaboratorysettingandfindthatlo
5、ngerreviewperiodsaregenerallymoreeffectivethanshorterreviewperiodsininducinghigherstockinglevels.Asinseveralearlierlaboratorystudies,theexplanationliesintheimprovedfeedbackreliabilitythatlongerreviewperiodsprovide.Theprimarymanagerialimplicationofourfindingsisthat,inpractic
6、e,longerreviewperiodsmaybemoreeffectivethanshorteronesatinducingserviceimprovements.Keywords:service-levelagreements;behavioraloperationsmanagement;supplychainmanagement;experimentaleconomicsHistory:Received:June30,2006;accepted:June1,2007.PublishedonlineinArticlesinAdvanc
7、eJanuary4,2008.1.IntroductionandMotivationcontractualfinancialpenaltiesandrewardsassociatedAsupplierstockinggoodsforeventualdeliverytoawithfailingorachievingatargetservicelevelforacustomermusttradeoffthenegativeconsequencesparticulartimeperiod.Anotherpossibilityisthattheofs
8、tockinginsufficientinventorywiththoseofex-servicelevelispartofasupplierscorecardusedtocess
