Abstract: Based on the fact that the distribution mechanism of SC profits directly influences the efficiency and stability of SC's operation,as well as the defects existing in the current distribution method of SC profits,this paper proposes a new two-stage distribution method Orthogonal Projection Entropy. Not only dose this method present the principles comprehensively,to which the distribution of SC profits should comply,but also possess an extensive applicability in practical operation. Furthermore,according to the diversity of calculation results of risk factor in reality,this method designs a kind of new comprehensive risk factor calculation method using Orthogonal Projection,which resolves the problem of inconsistency of several calculation results,and thus the obtained results also actually embodies the principle of risk compensation. As proved by the empirical research,the application of this method possesses universality and effectiveness.

Key words: SC profits, SC risk, orthogonal projection, maximum entropy