Decomposition heuristic to minimize total cost in a multi-level supply chain network

2008 ◽  
Vol 54 (4) ◽  
pp. 945-959 ◽  
Author(s):  
Byung Ki Lee ◽  
Kyung Hwan Kang ◽  
Young Hoon Lee
2019 ◽  
Vol 7 (2) ◽  
pp. 102-115
Author(s):  
Zaher Hamad Alsalem ◽  
Ramkumar Harikrishnakumar ◽  
Vatsal Maru ◽  
Krishna Krishnan

The study of the effect of redistribution strategy and aggregation, on a multi-echelon supply chain network by managing demand volatility is discussed in this research. For this an operational supply chain design is considered. Multi-echelon network consisting of manufacturing plants, distribution centers, warehouses, and retailers is used to develop the case study. Aggregation strategy was analyzed in the context of single product and multi-product for a multi-period production problem under demand uncertainty. Product sourcing between echelons and distribution strategies are considered for the study. Objective was to use the redistribution strategy to optimize the objective functions for the network. The objective functions include minimization of total cost, minimization of overage and stock-out conditions, and maximization of the customer service level. The total cost function includes product flow, transportation cost and distance cost. The mathematical formulation is carried out in Mixed Integer Linear Programming (MILP) with the help of Generic Algebraic Modeling System (GAMS). Problem formulation considers three type of demand based on volatility and uncertainty cases as high, medium, and low. The research is divided into three main phases to discuss an optimal multi-echelon supply chain network for single product using aggregation strategy.


2015 ◽  
Vol 781 ◽  
pp. 647-650
Author(s):  
Rojanee Homchalee ◽  
Weerapat Sessomboon

The proposed model is location-allocation model developed to design and manage the plants-to-customers ethanol supply chain in Thailand with the objective to minimize the total cost. The results showed that Thailand should have only one ethanol export depot and central depot located along wharfs in Samut Prakan province and along the highway in Non Sung district, Nakhon Ratchasima province, respectively. This model also provided the solutions on opening and expanding of production capacity of ethanol plants over time and appropriate ethanol allocation both of direct distribution and through the central depot for long term (2012-2021).


Author(s):  
Masoud Rabbani ◽  
Soroush Aghamohamadi Bosjin ◽  
Neda Manavizadeh

In the contemporary world, combining the concept of agile and lean manufacturing (LM) is one of the most strategic and appealing concerns in the industrial environments. In this paper, a new Leagile structure is proposed for a supply chain. This research covers long term and mid-term horizon by designing a supply chain network up to the order penetration point (OPP) and final assembly and sale planning respectively. The problem is programmed in two phases. First, a bi-objective optimization is developed to minimize the total cost related with LM. In the second phase, the total cost and the customer service level (CSL) are considered as the agile manufacturing (AM) architecture. In the proposed model, a utility function is applied to set balance between the price and customer satisfaction. In addition, a robust credibility-based fuzzy programming (RCFP) is developed to handle uncertainty of the first phase. The proposed model and the solution method are implemented for a real industrial case study to show the applicability and usefulness of this study. According to the results, improving the customer service level can enhance the total cost of the second phase meaning that customer responsiveness price is too high for the proposed system.


2009 ◽  
Vol 48 (13) ◽  
pp. 3957-3976 ◽  
Author(s):  
Jeong-Hun Lee ◽  
Il-Kyeong Moon ◽  
Jong-Heung Park

2014 ◽  
Vol 564 ◽  
pp. 656-660
Author(s):  
Zahra Firoozi ◽  
N. Ismail ◽  
Shahram Ariafar ◽  
S.H. Tang ◽  
M.K.A.M. Ariffin ◽  
...  

One significant decision in supply chain management is to determine the configuration of the supply chain network. However, studies that analyze different configurations are rare in the literature. This paper considers a supply chain network consisting of one supplier and a number of retailers. Two different configurations were proposed and were compared in terms of total cost for the network. In the first configuration, retailers directly order to the supplier and hold the inventory to meet the demand of customers. However, in the second configuration, a number of intermediate facilities were established to order products from the supplier and satisfy the demands of retailers. The inventory of retailers in the latter configuration is stored in the intermediate facilities. These two configurations were compared in terms of total cost. Numerical calculations indicate that the latter configuration was preferred in most cases.


2017 ◽  
Vol 2017 (1) ◽  
pp. 241-262
Author(s):  
Razaullah Razaullah ◽  
Iftikhar Hussain ◽  
Shahid Maqsood ◽  
Ishtiaq Ahmad ◽  
◽  
...  

2018 ◽  
Vol 2018 ◽  
pp. 1-13 ◽  
Author(s):  
Cheng Chen ◽  
Rongzu Qiu ◽  
Xisheng Hu

In recent years, low-carbon supply chain network design has been the focus of studies as the development of low-carbon economy. The location-routing problem with full truckloads (LRPFT) is investigated in this paper, which extends the existing studies on the LRP to full truckloads problem within the regional many-to-many raw material supply network. A mathematical model with dual objectives of minimizing total cost and environmental effects simultaneously is developed to determine the number and locations of facilities and optimize the flows among different kinds of nodes and routes of trucks as well. A novel multiobjective hybrid approach named NSGA-II-TS is proposed by combining a known multiobjective algorithm, NSGA-II, and a known heuristics, Tabu Search (TS). A chromosome presentation based on natural number and modified partially mapping crossover operator for the LRPFT are designed. Finally, the computational effectiveness of the hybrid approach is validated by the numerical results and a practical case study is applied to demonstrate the tradeoff between total cost and CO2 emission in the LRPFT.


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