A decision framework for sustainable supplier selection and order allocation with lost sales

2018 ◽  
Vol 183 ◽  
pp. 1156-1169 ◽  
Author(s):  
Hacer Güner Gören
2021 ◽  
Vol 13 (23) ◽  
pp. 13216
Author(s):  
Raja Awais Liaqait ◽  
Salman Sagheer Warsi ◽  
Taiba Zahid ◽  
Usman Ghafoor ◽  
Muhammad Shakeel Ahmad ◽  
...  

Sustainable supplier selection and order allocation (SSSOA) is paramount to sustainable supply chain management. It is a complex multi-dimensional decision-making process augmented with the triple bottom line of sustainability. This research presents a multi-phase decision framework to address a SSSOA problem for the multi-echelon renewable energy equipment (Solar PV Panels) supply chain. The framework comprises of fuzzy Multi-Criteria Decision-Making techniques augmented with fuzzy multi-objective mixed-integer non-linear programming mathematical model. The various economic, environmental, and social objectives were optimized for a multi-period, multi-modal transportation network of the supply chain. The results show that among the various sustainable criteria selected in this study, product cost, environmental management system, and health and safety rights of employees are the most important for decision-makers. The results of the mathematical model highlighted the impact of multimodal transportation on overall cost, time, and environmental impact for all periods. An analysis of results revealed that transfer cost and customer clearance cost contribute significantly towards overall cost. Furthermore, defect rate was also observed to play a critical role in supplier selection and order allocation.


Mathematics ◽  
2018 ◽  
Vol 6 (12) ◽  
pp. 325 ◽  
Author(s):  
Jong Soo Kim ◽  
Eunhee Jeon ◽  
Jiseong Noh ◽  
Jun Hyeong Park

We consider a buyer’s decision problem of sustainable supplier selection and order allocation (SSS & OA) among multiple heterogeneous suppliers who sell multiple types of items. The buyer periodically orders items from chosen suppliers to refill inventory to preset levels. Each supplier is differentiated from others by the types of items supplied, selling price, and order-related costs, such as transportation cost. Each supplier also has a preset requirement for minimum order quantity or minimum purchase amount. In the beginning of each period, the buyer constructs an SSS & OA plan considering various information from both parties. The buyer’s planning problem is formulated as a mathematical model, and an efficient algorithm to solve larger instances of the problem is developed. The algorithm is designed to take advantage of the branch-and-bound method, and the special structure of the model. We perform computer experiments to test the accuracy of the proposed algorithm. The test result confirmed that the algorithm can find a near-optimal solution with only 0.82 percent deviation on average. We also observed that the use of the algorithm can increase solvable problem size by about 2.4 times.


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