Article history: In this paper, we develop Received 15 January 2007 Received in revised form 1 May 2008

In previous literature it was found that 84% of risk in poultry grow-out farms is transferred to the processing company, an integrator. A major reason for such a high risk transfer is the absence of a market price variable in determining compensation. We find that more recent contracts, which include a market price clause do not have such high risk transfer. Using welfare analysis we also concl...

We investigate how a supply chain, formed by a risk-neutral supplier and a riskaverse retailer, can be coordinated with a supply contract. We demonstrate that the standard wholesale, buy-back or revenue-sharing contracts do not coordinate such a channel. We propose a definition of coordination of the supply chain, and design an easy-to-implement risk-sharing contract that offers the desired dow...

One of the major issues in IT outsourcing is the management of the client-vendor relationship. Researchers have suggested the use of both formal processes such as contract negotiations and bidding and to informal processes such as relationship management to reduce vendor opportunistic behaviors. This paper explores psychological beliefs about mutual obligations in outsourcing relationships thro...

As highlighted in the February 2010 Aberdeen study, Transportation Procurement and Payment: Gain Control over Spend, transportation contract management is growing in both importance and scale as more companies (about 60%) have expanded or have plans to expand the global transportation spend they have under contract. In response to this trend, there is an increased interest in outsourcing models...

Once the decision to outsource an activity has been made, managers are faced with issues related to the management of the relationship with their service providers. A critical element of relationship management is the contract itself, which defines, more or less completely, the nature of the services to be rendered and of the relationship itself. In this paper, we rely on transaction cost theor...

Vertical separation of generation from electricity retailing has often been required as a condition of electricity market liberalisation. A well-developed and liquid contracts market is similarly suggested as necessary to manage the resulting wholesale market risks, which risks are further exacerbated by competition. Such contracts markets are rare, however, and increasingly evidence is emergin...

In this paper, a new form of weather derivative contract, namely the climatic zone-based growth degree-day (GDD) contract, is introduced. The objective is to increase the risk management efficiency in the agricultural sector of China and to reduce the model dimension of multi-regional temperature-based weather derivatives pricing. Since the proposed contract serves as a risk management tool for...

The contracting-out of job brokerage and case management services is a major international trend in the reform of the Public Employment Service. Instead of a public agency, private providers are contracted to deliver these services for the jobseekers. Australia and the Netherlands have contracted-out (almost) all of this formerly core public service. The U.K. has introduced so-called Employment...