An Organizational Cybernetics Framework for Aligning Incentives in Collaborative Supply Chains

  1. Puche-Regaliza, Julio Cesar 1
  2. Borja Ponte 2
  3. José Costas Gual 3
  4. Raúl Pino Diez 4
  5. David de la Fuente García 4
  1. 1 Department of Applied Economics. Faculty of Economics and Business. University of Burgos. Spain
  2. 2 Logistics Systems Dynamics Group. Cardiff Business School. Cardiff University. U. K.
  3. 3 Polytechnic Institute of Viana do Castelo. School of Business Science of Valença. Portugal
  4. 4 Department of Business Administration. Polytechnic School of Engineering. University of Oviedo. Spain
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Journal:
Dirección y organización: Revista de dirección, organización y administración de empresas

ISSN: 1132-175X

Year of publication: 2017

Issue: 63

Pages: 50-56

Type: Article

DOI: 10.37610/DYO.V0I0.514 DIALNET GOOGLE SCHOLAR lock_openOpen access editor

More publications in: Dirección y organización: Revista de dirección, organización y administración de empresas

Abstract

The potential of supply chain collaboration to outperform non-collaborative supply chain solutions is widely accepted by both practitioners and academics. Nevertheless, it is also well known that this improvement does not come without meaningful challenges to be tackled. One of them is the need for aligning incentives among the various supply chain partners. This work applies Beer’s Organizational Cybernetics to design a conceptual framework for aligning incentives in collaborative supply chains. Our approach combines the Ashby’s Law of Requisite Variety, Petri Nets and Espejo’s Organizational Double Loop Learning. As a result, complexity asymmetries between the various echelons of the supply chain are balanced, which increases their confidence in the collaborative solution.

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