Modeling Supply Chain Contracts In Pharmaceutical Industry Using System Dynamics Approach

Utami, Aprilia Ekawati (2009) Modeling Supply Chain Contracts In Pharmaceutical Industry Using System Dynamics Approach. Masters thesis, Institut Teknologi Sepuluh November.

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Abstract

Supply chain performance is influenced by the actions taken by all parties in the supply chain. Optimal supply chain performance can be achieved if firms are coordinated through agreements established by supply chain contracts, as each firm's objectives become aligned with the supply chain's objectives. The fundamental aspect of relationships among supply chain parties is coordination, especially in terms of designing a supply chain contract portfolio. This research focuses on supply chain contracts as a dynamic process of cooperative inter-organizational relationships in the pharmaceutical industry in Indonesia. Hence, this research aims to develop a system dynamics model for pharmaceutical supply chain contracts by considering price risk and demand risk in order to provide alternative policies for more equitable supply chain contracts for all parties in the pharmaceutical supply chain. In this research, the main variables of pharmaceutical supply chain contracts for suppliers, distributors, retailers, 3PLs, and 3PWs are identified in order to build a generic model of supply chain contracts. Penalty variables are also incorporated into the model to ensure the commitment of all parties in executing contract agreements. Then, a Structured Contract (S Contract) with no coordination is developed as the initial and baseline model for developing supply chain contract strategies. The alternative strategies for the pharmaceutical supply chain contract model consist of an S Contract with coordination, an S-Buyback Contract with coordination, a Flexibility Contract (F Contract) with coordination, and a Short-Term Contract (ST Contract) with coordination. The proposed supply chain contract model is validated using data from a case study. Based on the simulation results, the S Contract and S-Buyback Contract with coordination provide more effective and equitable contract agreements than the initial supply chain contract model. Furthermore, strategic policies for supply chain contracts are determined based on inventory turnover rates and the categories of pharmaceutical products. In addition, as part of the system dynamics model development, an input analyzer interface is developed to provide a user-friendly interface for the supply chain contract model so that it can be easily implemented by users.

Item Type:	Thesis (Masters)
Additional Information:	658.5 Uta m
Uncontrolled Keywords:	supply chain contract; coordination; system dynamics modeling; input analyzer interface; pharmaceutical industry Keywords: supply chain contract; coordination; system dynamics modeling; input analyzer interface; pharmaceutical industry Keywords: supply chain contract; coordination; system dynamics modeling; input analyzer interface; pharmaceutical industry
Subjects:	H Social Sciences > HD Industries. Land use. Labor > HD38.5 Business logistics--Cost effectiveness. Supply chain management. ERP
Divisions:	Faculty of Industrial Technology > Industrial Engineering > 26101-(S2) Master Thesis
Depositing User:	magang .
Date Deposited:	29 Sep 2026 08:41
Last Modified:	29 Sep 2026 08:41
URI:	http://repository.its.ac.id/id/eprint/145043

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