Table 2b.

Depiction of how Fig. 3 (implementation) address key dimensions of sustainable network contracting framework/theory.

Safeguarding problem	Performance evaluation problem	Adaptaton problem
Step-1: 1. Address adverse selection issue	Step-1: 1. Assess BU (behavioural uncertainty) sources	Step-1: 1. Assess EU (Environmental uncertainty) sources
Step-2-3: Address moral hazard through incentives/penalties, allocating appropriate quantities in the network	Step-2 and Step-3: Employ cost, benefit, and risk information to 1. Assess situation 2. Allocate order quantity	Step-2 and Step-3: 1. Employ cost, benefit, and risk information to learn/adapt to new situaton 2. Allocate order quantity
Step-4: 2. Assess asset misallocation issue	Step-4: 1. Employ cost, benefit, risk information to assess performance 2. Employ contracted incentives to assess real costs	Step-4: 1. Confirm EU incidence 2. Employ cost, benefit, risk information to assess performance 3. Employ contracted incentives to assess real costs
Step-5: 1. Buyer-supplier share learning experience 2. Address asset misallocation issue, if any	Step-5: 1. Buyer-supplier share learning experience 2. Jointly address BU incidence 3. Negotiate new incentives to align performance (employ balanced score-card)	Step-5: 1. Buyer-supplier share learning experience 2. Jointly address EU incidence 3. Negotiate new incentives to align performance (employ balanced score-card)
Two assumptions on human behavior (TCA)
Assumptions	How the 5-step processes addresses these issues
Bounded rationality (BR)	Step-1, step-2, and step-3 generate and analyze information to address BR
Opportunism (OP)	Step-1 helps generate inputs to assess OP; Steps 2&3 help address OP through incentives; Step-4 helps confirm incidences of OP; Step-5 helps share information and close the loop; Stakeholder approach in Steps 1–5 reduces OP