feat(example): add supply-chain-vsm composition demo (S3.5)

Demonstrates infospace composition: the Wealth of Nations infospace is
used as a discipline, applying Smith's economic framework as a lens to
analyse modern supply chain management concepts.

New example: examples/supply-chain-vsm/
- infospace.yaml binding WoN as discipline (../infospace-with-history)
- 3 source documents: coordination mechanisms, capital & inventory,
  market structure (~400 words each, original content)
- supply-chain-entity-schema-v1.0.md with WoN Concept required section
- won-mapping-schema-v1.0.md with Conceptual Continuity rating
- artifacts/won-reference/core-entities.md — 12 curated WoN entities
  for injection as discipline context
- 8 hand-crafted entity files demonstrating LLM output format
- 3 mapping files with full rationale and VSM inheritance chains
- Viable: YES (5/5 thresholds)

Key mappings demonstrated:
  Demand Signal          → Effectual Demand        (Strong, S2)
  Vendor-Managed Inventory → Division of Labour    (Strong, S1/S2)
  Just-in-Time Inventory → Circulating Capital     (Strong, S1/S3)
  Bullwhip Effect        → Natural Price           (Moderate, S2)
  Platform Intermediary  → Merchant Capital        (Strong, S2/S4)
  Monopsony Power        → Combination of Masters  (Strong, S3*)

Platform fix: entity_parser.py now recognises ## Supply Chain Domain
as a domain alias for ## Economic Domain, enabling composed infospaces
to use their own domain section name.

Tutorial §13 rewritten with real commands, real output, and the full
mapping table from the demo.

Co-Authored-By: Claude Sonnet 4.6 <noreply@anthropic.com>
This commit is contained in:
2026-02-23 00:08:51 +01:00
parent 8f00fa2018
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27 changed files with 1696 additions and 15 deletions

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# WoN Mappings — Capital and Inventory
Generated from: `artifacts/sources/capital-and-inventory.md`
---
# Just-in-Time Inventory → Circulating Capital
## Supply Chain Entity
Just-in-Time Inventory
## WoN Entity
Circulating Capital
## Mapping Rationale
Smith defines circulating capital as the component of capital consumed
each productive cycle that yields its return only by changing hands —
contrasted with fixed capital (durable plant and equipment). He argues
that the faster circulating capital turns over, the more productive output
can be generated from a given capital stock. JIT inventory management is
an explicit strategy to maximise the velocity of the circulating capital
cycle by minimising the time capital spends frozen as inventory. The
financial logic is identical: reduce dwell time, increase velocity,
extract more productive output per unit of capital employed.
## Conceptual Continuity
Strong — JIT is Smith's circulating capital theory operationalised as an
inventory management practice. The mechanism (faster turnover of working
capital) and the goal (higher productive output per unit of capital) are
the same; only the technological form differs.
## VSM Inheritance
Just-in-Time Inventory inherits S1/S3 via Circulating Capital (operational
resource; managed for return velocity through S3 capital management policy).
---
# Safety Stock → Accumulation of Stock
## Supply Chain Entity
Safety Stock
## WoN Entity
Accumulation of Stock
## Mapping Rationale
Smith describes stock accumulation as a prerequisite for economic activity:
before workers can be employed in specialised production, the employer must
have accumulated sufficient stock to sustain them while production is
in progress — before any output can be sold. Safety stock is a modern
instantiation of this logic: productive continuity requires holding a
buffer of stock to absorb demand and supply variability, just as Smith's
producer needed reserves before specialising. Both forms of stock are
held not for immediate productive use but as insurance against disruption
to continuous operations. The trade-off Smith identifies — between
accumulating stock and deploying it productively — is exactly the safety
stock optimisation problem.
## Conceptual Continuity
Moderate — The reserve function is shared, but Smith's accumulation of
stock is primarily an enabling condition for production while safety stock
is an operational buffer. The temporal purpose differs (enabling new
activity vs. maintaining existing activity), though the economic logic
(idle capital as insurance against continuity risk) is the same.
## VSM Inheritance
Safety Stock inherits S3 via Accumulation of Stock (capital management
decision about how much reserve to hold against operational risk).

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# WoN Mappings — Coordination Mechanisms
Generated from: `artifacts/sources/coordination-mechanisms.md`
---
# Bullwhip Effect → Natural Price as Central Price
## Supply Chain Entity
Bullwhip Effect
## WoN Entity
Natural Price as Central Price
## Mapping Rationale
Smith describes natural price as a centre of gravity around which market
price perpetually oscillates. The bullwhip effect describes an analogous
oscillation in supply chain order quantities around actual demand. In both
cases, a signal (market price; order quantity) should converge to a
reference value (natural price; true demand) through a corrective
mechanism, but systematic distortions prevent convergence. Smith's
mechanism is capital mobility; the bullwhip's is information transparency.
Where Smith shows that monopoly or regulation blocks convergence, the
bullwhip shows that information delay and batching produce the same failure
in a nominally competitive chain.
## Conceptual Continuity
Moderate — The oscillation-around-equilibrium structure is shared, but
the bullwhip's amplification mechanism (each tier adding safety buffers)
is an information processing problem that Smith did not specifically analyse.
His account of price oscillation focuses on capital reallocation; the
bullwhip operates through order distortion without necessarily involving
capital reallocation.
## VSM Inheritance
Bullwhip Effect inherits S2 via Natural Price as Central Price (coordination
layer failure — the anti-oscillation mechanism is absent or impaired).
---
# Vendor-Managed Inventory → Division of Labour
## Supply Chain Entity
Vendor-Managed Inventory
## WoN Entity
Division of Labour
## Mapping Rationale
Smith argues that dividing labour so each party performs only what they
are best equipped to do increases productivity and reduces waste. VMI
applies this principle at the inter-firm boundary: the inventory
replenishment function, previously split between buyer (tracking stock
levels) and supplier (responding to batch orders), is consolidated with
the supplier. The supplier has superior information about their own lead
times and production capacity, and direct visibility of consumption rather
than orders. The functional consolidation reduces the coordination friction
at the boundary and improves signal quality — precisely the efficiency
gains Smith predicts from specialisation.
## Conceptual Continuity
Strong — VMI is a direct application of division of labour at the
inter-firm level. The boundary conditions are different (firms rather
than workers; coordination through IT rather than supervision), but
the mechanism — assigning a function to the party best positioned to
perform it — is identical.
## VSM Inheritance
Vendor-Managed Inventory inherits S1/S2 via Division of Labour (operational
specialisation creating a more effective coordination arrangement).
---
# Demand Signal → Effectual Demand
## Supply Chain Entity
Demand Signal
## WoN Entity
Effectual Demand
## Mapping Rationale
Smith's effectual demand — the demand of those willing and able to pay —
is the signal that calls productive resources into action. When effectual
demand exceeds supply, market price rises and capital is attracted; when
it falls short, production contracts. The modern demand signal serves the
same coordination function: it tells upstream nodes how much to produce.
The structural difference is one of mechanism: Smith's effectual demand
works through price as a lagged, aggregated, emergent signal; the modern
demand signal is an explicit, real-time, granular data feed. The goal
(synchronising production with consumption) and the failure mode (distorted
signals cause misallocation) are shared.
## Conceptual Continuity
Strong — Effectual demand and the demand signal are the same coordination
function in different technological settings. The modern version is
Smith's concept made explicit and machine-readable.
## VSM Inheritance
Demand Signal inherits S2 via Effectual Demand (primary coordination
variable regulating upstream resource allocation).

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# WoN Mappings — Market Structure
Generated from: `artifacts/sources/market-structure.md`
---
# Platform Intermediary → Merchant Capital
## Supply Chain Entity
Platform Intermediary
## WoN Entity
Merchant Capital
## Mapping Rationale
Smith analyses merchant capital as capital employed to buy in one market
and sell in another, earning profit from controlling access to exchange
rather than from production. He notes that merchants are mobile — they
have no necessary attachment to any productive system — which gives them
structural leverage over producers who are geographically fixed. Platform
intermediaries are a high-leverage form of the same structure: they control
access to exchange (the matching infrastructure) without bearing inventory
risk, earning profit from transaction fees and data rather than from
buying and reselling. The merchant's physical mobility translates into
the platform's structural mobility — the platform has no fixed attachment
to any producer's fate, yet producers cannot exit without losing network
access.
## Conceptual Continuity
Strong — Platform intermediaries are the modern form of merchant capital:
the mechanism (control of exchange access, leverage over producers,
profit from intermediation rather than production) is identical. The
innovation is eliminating inventory risk while retaining coordination
power, which makes platforms a more concentrated and profitable form of
merchant capital than Smith could have envisioned.
## VSM Inheritance
Platform Intermediary inherits S2/S4 via Merchant Capital (coordination
infrastructure with intelligence function — aggregating market data while
intermediating transactions).
---
# Monopsony Power → Combination of Masters
## Supply Chain Entity
Monopsony Power
## WoN Entity
Combination of Masters
## Mapping Rationale
Smith describes the combination of masters as the coordinated exercise of
employer power to suppress wages below the competitive level. He notes
these combinations are common, rarely discussed publicly, and facilitated
by the smaller number of employers relative to workers. Modern supply chain
monopsony operates through the same structural mechanism: a concentrated
buyer (or industry norm among buyers) facing atomistic suppliers
systematically extracts terms — lower prices, extended payment, cost
absorption — that suppliers cannot individually refuse without losing the
customer. The power asymmetry (concentrated vs. atomistic; each party's
outside options) is identical. Smith's analysis predicts the modern
outcome: margin compression, underinvestment, and fragility on the supplier
side.
## Conceptual Continuity
Strong — Monopsony power in supply chains is Smith's combination of masters
applied to the buyersupplier relationship rather than the employerworker
relationship. The market structure (concentrated power facing fragmented
supply of a factor) and the mechanism (systematic extraction below
competitive returns) are the same.
## VSM Inheritance
Monopsony Power inherits S3* via Combination of Masters (distortion of
the S2 coordination signal through coordinated anti-competitive behaviour
at the management boundary).
---
# Single-Source Dependency → Monopoly in Trade
## Supply Chain Entity
Single-Source Dependency
## WoN Entity
Monopoly in Trade
## Mapping Rationale
Smith argues that monopolists always charge the highest price buyers will
bear, because no competitive alternative disciplines them. A single-source
supplier during a supply disruption is a temporary monopolist: the buyer
has no immediate alternative, demand for the component is inelastic in
the short run, and the supplier can extract above-natural prices. Smith's
account of monopoly — restricted supply, elevated price, distorted resource
allocation — applies precisely to the disrupted single-source scenario.
The difference is that single-source dependency produces episodic monopoly
power (during disruptions) rather than Smith's continuous monopoly; but
the mechanism and the welfare consequences are the same.
## Conceptual Continuity
Moderate — The monopoly pricing mechanism is shared, but Smith's monopoly
is a stable market structure while single-source dependency produces
temporary monopoly only during disruptions. The strategic implications
also differ: Smith focuses on restricting supply to maintain high prices,
while single-source power is an inadvertent consequence of concentrated
specialisation rather than deliberate supply restriction.
## VSM Inheritance
Single-Source Dependency inherits S4/S5 via Monopoly in Trade (intelligence
failure creating conditions for policy-level market distortion when
disruption occurs).