Supplier Incentive Calculation for Traceability Compliance
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Solution Overview
Problem
In complex supply chains, it is difficult for suppliers of incorporated products to grasp their contribution to satisfying predetermined traceability conditions such as carbon footprint or recycling rates for target products, leading to motivation issues in achieving these conditions.
Innovation Solution
An information processing device calculates a contribution rate for each incorporated product based on traceability item data, determining incentives for suppliers based on these rates to motivate them in achieving the desired conditions, even in complex supply chains.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Ease of operation
If suppliers of incorporated products are not provided with clear information on their contribution to traceability conditions, then the complexity of the supply chain management is reduced, but the motivation of suppliers to achieve traceability targets deteriorates
Solution Approach 1:
The system implements a feedback mechanism by calculating and notifying each supplier of their contribution rate to the traceability conditions of the target product. The control unit computes the contribution rate based on the incorporated products supplied by each supplier and notifies the supplier of this rate, enabling them to understand their impact and adjust their operations accordingly to improve traceability outcomes.
Solution Approach 2:
The system segments the overall traceability management into individual supplier-level contributions. By calculating the contribution rate for each supplier separately based on their specific incorporated products, the system breaks down the complex supply chain traceability into manageable, attributable units that can be independently optimized by each supplier.
2Productivity
If contribution rates are calculated and incentives are provided to each supplier, then supplier motivation to achieve traceability conditions is improved, but the complexity of the information processing system increases
Solution Approach 1:
The system enables suppliers to self-assess their contribution by automatically receiving their contribution rate notifications. Each supplier can independently understand their impact on traceability conditions and make autonomous decisions to improve their incorporated products' traceability attributes, reducing the need for centralized micromanagement while maintaining high productivity.
3Measurement precision
If detailed product information on traceability items is collected from all incorporated products, then the precision of contribution rate calculation is improved, but the loss of information management increases
Solution Approach 1:
The system extracts only the necessary traceability-related information from incorporated products that is required for calculating contribution rates. Rather than managing all possible product information, the control unit focuses on collecting and processing only the specific traceability items relevant to the target product's conditions, reducing information management burden while maintaining calculation precision.
Data Source
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AI summary
A control unit (11) of an information processing device (1) configured to acquire pieces of product information on a plurality of incorporated products incorporated in a target product, calculate a contribution rate of each of the incorporated products to satisfaction of a predetermined condition about a predetermined traceability item of the target product based on information on the predetermined traceability item in the product information, determine an amount of an incentive for each of the incorporated products based on the contribution rate of each of the incorporated products, and notify an account of a supplier of each of the incorporated products about information on the amount of the incentive.