Overstock – A Real Option Approach

In the last decades, firms have been facing a new challenge, considering the increasing uncertainty of the markets and the pressure to achieve better levels of performance, within the stake-holders expectations. Three main problems have been emerging in dealing with management performance: the incre...

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Detalles Bibliográficos
Autores: Fernandes, Rui, Gouveia, Joaquim, Pinho, Carlos
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2010
País:Brasil
Institución:Fundação Getulio Vargas (FGV)
Repositorio:JOSCM. Journal of Operations and Supply Chain Management
Idioma:inglés
OAI Identifier:oai:ojs.periodicos.fgv.br:article/11173
Acceso en línea:https://periodicos.fgv.br/joscm/article/view/11173
Access Level:acceso abierto
Palabra clave:overstock
stock management
real options
supply chain
Descripción
Sumario:In the last decades, firms have been facing a new challenge, considering the increasing uncertainty of the markets and the pressure to achieve better levels of performance, within the stake-holders expectations. Three main problems have been emerging in dealing with management performance: the increasing pressure to reduce working capital, the growing variety of products and the fulfillment of a demanding service level. Most of the popular indicators have been developed based on a controlled environment. A new indicator is now proposed, based on the uncertainty of the demand, the flexibility of the supply chains, the evolution of the products lifecycle and the fulfillment of a required service level. The model to support the indicator will be developed within the real options approach.