Journal of Japan Industrial Management Association
Online ISSN : 2187-9079
Print ISSN : 1342-2618
ISSN-L : 1342-2618
Original Paper (Theory and Methodology)
A Study on the Information Sharing in Supply Chain Network Based on Information Entropy
Nyunho JUNGMasanobu MATSUMARU
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2013 Volume 64 Issue 2E Pages 317-324

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Abstract
This study proposes a model on the feature of information sharing and load allocation in supply chain network. The proposed model formulates the load allocation problem as the harmony of low energy and high entropy. The informational issue in the supply chain is to maintain the amount of information constantly or fairly for each participating company, and at the same time to reduce the complexity and load of the network. This study, based on these perspectives, attempts to formulate load allocation problem as the harmony of low energy and high entropy in supply chain network. Based on previous studies, this study firstly introduces the concept of a communication network. Secondly, based on the previous model of increasing the sum of load allocation entropy and information transfer entropy, this study extends the issue to information sharing in supply chain network. In addition, we attempt to analyze the proposed model using simple numerical examples. This study provides a theoretical approach which can capture the essential features of transaction load or cooperation structure of supply chain network from the viewpoint of information theory by formulating the harmonization problem between load allocation and information sharing in supply chain network while considering complexity.
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© 2013 Japan Industrial Management Association
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