Capacity reservation contracts and spot markets are two alternative purchasing practices. We focus on the cost-effective management of the combined use of these two procurement sources. Due to the variability of the spot market prices and demand uncertainty, the flexibility of combined sourcing...

This contribution focuses on the cost-effective management of the combined use of two procurement options: the short-term option is given by a spot market with random price, whereas the long-term alternative is characterized by a multi period capacity reservation contract with fixed purchase...

Leading companies in several industries purchase materials with the combined use of capacity reservation contracts and spot market. We analyse the optimal and a simplified policy for making long-term capacity reservation and periodic ordering/inventory decisions using the above two sources under...

Both material sourcing and inventory management are important competitiveness factors, and it is a significant challenge to integrate the two areas. In sourcing, combined strategies using long-term contracts and the spot market received increasing attention recently, typically concentrating on...

This contribution focuses on the cost-effective management of the combined use of two procurement options: the short-term option is given by a spot market with random price, whereas the long-term alternative is characterized by a multi period capacity reservation contract with fixed purchase...

Emergency supply chain management is often in the focal point of public scrutiny. Expected cost minimization may result in unacceptable high shortage for scenarios with small probabilities that is hardly tolerated by the public. To decrease the loss for the worst-case scenario, the min–max...

Purpose: The corporate ethical behavior is a subject that instigates the reflection and practice of researchers and managers in general. Companies dedicate efforts to offer something valuable to society, making profits and usually doing it in compliance with the current legal system....

The traditional way of procurement, using long-term contract and capacity reservation, is competing with the escalating global spot market. Considering the variability of the spot prices, the flexibility of combined sourcing can be used to benefit from occasional low short-term spot price levels...