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>
39 lines
1.5 KiB
Markdown
39 lines
1.5 KiB
Markdown
<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-22 source=coordination-mechanisms -->
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# Vendor-Managed Inventory
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## Definition
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A supply chain coordination arrangement in which the supplier takes
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responsibility for maintaining stock levels at the buyer's location,
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using shared inventory data to trigger automatic replenishment. Payment
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occurs at point of consumption rather than delivery. The buyer surrenders
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operational control over replenishment in exchange for reduced
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administrative burden and improved demand signal quality.
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## Source
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Coordination Mechanisms in Modern Supply Chains, §Vendor-Managed Inventory
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## Supply Chain Domain
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Coordination
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## VSM Assignment
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S2 — VMI is a formal coordination mechanism that assigns the replenishment
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function to the party best positioned to perform it. It reduces oscillation
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(the bullwhip) by giving the upstream party direct visibility of
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consumption rather than batched orders.
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## WoN Concept
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Division of Labour — VMI is an application of Smith's division of labour
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principle at the inter-firm level. The inventory management function —
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previously split between buyer (demand tracking) and supplier (order
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fulfilment) with coordination friction between them — is consolidated
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with the supplier, who has the information and capability to perform it
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most efficiently. The functional specialisation reduces transaction costs
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and improves the quality of the upstream demand signal, mirroring Smith's
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argument that specialisation improves output quality and reduces waste.
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