The Study on Partners Relationship for Virtual Enterprises Risk Management Based on Distributed Decision

Abstract:

To reduce risks of Virtual Enterprise （VE）, a novel Distributed Decision Making （DDM） model for VE risk management was presented. This model had two levels, namely, the top-model and the base-model, which described the decision processes of the owner and the partners, respectively. The owner allocated funds to each member of the VE, the partners then selected their own optimal risk control actions to reduce their risks with the constraint given by the allocated budget. When number of members in VE, the number of risk factors and the number of actions increased, the size of the search space would be very huge, the brief solutions of the models are also discussed.

• Periodical: Key Engineering Materials (Volumes 439-440)
• Pages: 1024-1029
• DOI: https://doi.org/10.4028/www.scientific.net/KEM.439-440.1024
• Online since: June 2010
• Authors: Neng Wang
• Keywords: Distributed Decision Making, Risk Management (RM), Synthetic Evaluation, Virtual Enterprise (VE)

References

[1] Jia Ping. Virtual Enterprise. Beijing: Economic management Press. (2003).

[2] Ip W H, Huang M, Yung K LI J. Genetic problem in a virtual enterprise. International Journal of Computers & Operations Research, 2003, 30(2): 213-231.

DOI: 10.1016/s0305-0548(01)00092-2

[3] Huang Min, Yang Hong-mei, Wang Xing-wei. Genetic Algorithm and Fuzzy Synthetic Evaluation Based Risk Programming for Virtual Enterprise. Acta Automatica Sinica, 2004, 30(3): 449-454.

[4] Schneeweiss Ch. Distributed decision making. Berlin: Springer-Verlag. 2003: 26-70.

[5] Schneeweiss Ch. Distributed decision making a unified approach. European Journal of Operational Research, 2003(150): 237-252.

DOI: 10.1016/s0377-2217(02)00501-5

[6] YAN K, LI J. Application of fuzzy integrative evaluation method to risk management of virtual enterprises. Industrial Engineering Journal, 2004 7(3): 40-44.

[7] Schneeweiss Ch. Distributed decision making in supply chain management. International Journal of Production Economics, 2003, 84: 71-83.

DOI: 10.1016/s0925-5273(02)00381-x

[8] Kaihara T. Supply chain management with market economics. International Journal of Production Economics, 2001, 73: 5-14.

DOI: 10.1016/s0925-5273(01)00092-5

[9] Eichin R, Schneeweiss Ch. Determining depreciations as a hierarchical problem. Schmalenbach's Business Review , 2001, 53(4): 66-81.

DOI: 10.1007/bf03396628

[10] Zhang Weiying. Game theory and information economics. Shanghai: Shanghai People's Publishing House. 1999: 397-431.

[11] Xianli Sun, Min Huang, Xingwei Wang. Tabu Search Based Distributed Risk Management for Virtual Enterprise, 2nd IEEE Conference on Industrial Electronics and Applications, 2366-2370. 2007(05).

DOI: 10.1109/iciea.2007.4318834