An approach for the ascertainment of profit shares for network participants

Abstract

This paper introduces an approach for the automated calculation of profit shares for participants in non-hierarchical production networks under consideration of incentive and sanction mechanisms. Thereby the sanctions can be ascertained within an integrated approach for the evaluation of the performance of the individual value-adding units. Incentive mechanisms focus the interference of the behavior of the value-adding-units in order to act network-compliant. The discussed issues concern the two final phases of a typical life cycle of a virtual enterprise: the phase of the evaluation and the phase of the break-up of the network. Thereby the maximization of utility of the entire virtual enterprise serves as the main objective. © 2005 by International Federation for Information Processing.