The expected value of the traceability information

Aiello, Giuseppe; Enea, Mario; Muriana, Cinzia

doi:10.1016/j.ejor.2015.01.028

Cited by 96 publications

(75 citation statements)

References 38 publications

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“…The European Commission defines food traceability as the ability to trace and follow a food, feed, food-producing animal, or substance intended to be, or expected to be incorporated into a food or feed, through all stages of production, processing, and distribution [1]. Since 1 January 2005, supply chain traceability has become a legal obligation and an essential task for the food industry in the EU [2]. China has also explored the implementation of food traceability systems in order to promote food export and deal with food safety issues [3].…”

Section: Introductionmentioning

confidence: 99%

“…They found the traceability system to be an efficient tool for reducing the loss in value of perishable products during the transportation process. Aiello et al [2] also evaluated the expected value of a RFID-enabled traceability system in the transportation process, in terms of traceability allowing proper selection of the destination of food products based on their remaining quality. Their results confirmed the importance of determining the optimal granularity level of a traceability system through a cost-benefit analysis.…”

Section: Literature Reviewmentioning

confidence: 99%

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Economic Analysis of a Traceability System for a Two-Level Perishable Food Supply Chain

Zhu¹

2017

Sustainability

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Food waste stemmed from food contamination and ineffective quality control is a significant challenge to food management. Supply chain traceability has become an essential task of the food industry for guaranteeing food quality and safety and reducing food waste. Radio Frequency Identification (RFID) has emerged as a lead technology in the development of traceability systems, which enable automatically capturing of food information along the supply chain. However, the significant investment cost has been a major obstacle in the diffusion of traceability systems in the food industry. This study conducts a cost-benefit analysis of a RFID-enabled traceability system for a two-level perishable food supply chain, which consists of an upstream supplier and a downstream retailer. Consumer perceptions of food quality and safety are jointly considered when evaluating the value of a traceability system. The optimal decisions of the supply chain participants are derived in both centralized and decentralized systems, in terms of wholesale price, order quantity, price markdowns, and granularity level of the traceability system. The results show that a dynamic pricing policy supported by the traceability system could significantly reduce food waste and improve the retailer's performance. We further propose a two-part tariff contract to coordinate the supply chain and to distribute benefits and costs of the traceability system between supply chain participants. This study demonstrates that a well-developed traceability system could significantly improve the supply chain performance and become a profitable investment for the food industry.

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Section: Introductionmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

Economic Analysis of a Traceability System for a Two-Level Perishable Food Supply Chain

Zhu¹

2017

Sustainability

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“…By contrast, overseas research on seafood safety early warning is relatively early. For example, there are several organizations such as the international seafood quality safety warning system of international food safety authorities network (INFOSAN), the global environment monitoring system (GEMS) of food contamination monitoring and assessment program (GEMS/Food), the EU rapid alert system for food and feed (RASFF) jointly organized by the WHO (WHO) and the food and agriculture organization of the United Nations (FAO), which are committed to the prevention of sudden outbreak of food safety incidents [6].…”

Section: Literature Reviewmentioning

confidence: 99%

Quality and Safety Traceability System of Aquatic Products Based on Internet of Things

2017

Int. J. Onl. Eng.

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Abstract-In order to better detect the quality of aquatic products, a water quality and safety traceability system based on Internet of things has been designed. By analyzing the marine product quality and safety control, a standardized, intelligent and universal marine product quality safety traceability system is proposed based on the Internet of things technology and the characteristics of the seafood industry chain are analyzed. The process about "seedling purchase (seedling propagation) -seafood cultivation -seafood fishing -seafood processing -seafood sales" is selected as the main line, and sensors are used to collect seafood information. The final information is pooled into the seafood traceability data center. Companies can view the seafood traceability data in the traceability system, and consumers can obtain product traceability data by scanning the two-dimensional code of product packaging. The system adopts B/S model and SSH framework to complete system development. The experimental results show that the new system provides powerful technical support for marine product traceability and marine product quality safety management. Based on the above finding, it is concluded that the traceability system has been technically able to effectively improve the product management of marine fishery enterprises through the information management technology. At the same time, it lays a good foundation for the overall upgrading and reform of China's marine fishery industry.

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“…We show how the well-understood dynamics between risk-averse sellers and risk-neutral buyers play out in the agri-food domain, and with mutual benefits that are robust across a variety of extensions in practice. we describe and analyze contracts (see Belavina and Girotra 2015 for relational sourcing); (2) to our knowledge, not much analytical work has been carried out in the extant literaturePagell and Shevchenko (2014) underscore the need for analytical modeling in such contexts.…”

Section: Introductionmentioning

confidence: 99%

“…Aiello et al 2015; see Belavina and Girotra 2015 for relationship sourcing in general). Agri-food firms including manufacturers and retailers are increasingly purchasing directly from farmers to reduce risk and improve returns for both sides.…”

Section: Introductionmentioning

confidence: 99%

An analysis of partially-guaranteed-price contracts between farmers and agri-food companies

Tang¹,

Sodhi

Formentini

2016

European Journal of Operational Research

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Global agri-food companies such as Barilla and SABMiller are purchasing agricultural products directly from farmers using different types of contracts to ensure stable supply. We examine one such contract with partially-guaranteed prices (PGP). Under a PGP contract, around sowing time, the buying firm agrees to purchase the crop when harvested by the farmer, offering a guaranteed unit price for any fraction of the produce and offering the commodity market price prevailing at the time of delivery for the remainder. The farmer then chooses the fraction. By analyzing a Stackelberg game, we show (1) how the PGP contract creates mutual benefits when the firm's purchase quantity is taken as being exogenous. We also analyze how the PGP contract is robust in creating value for both the firm and the farmer (2) when the firm's purchase quantity is endogenously determined; (3) when the firm provides advisory services to the farmer; and (4) when the firm offers a price premium as an incentive for farmers to exert efforts to comply with 'sustainable' agricultural practices.

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The expected value of the traceability information

Cited by 96 publications

References 38 publications

Economic Analysis of a Traceability System for a Two-Level Perishable Food Supply Chain

Economic Analysis of a Traceability System for a Two-Level Perishable Food Supply Chain

Quality and Safety Traceability System of Aquatic Products Based on Internet of Things

An analysis of partially-guaranteed-price contracts between farmers and agri-food companies

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