Multi-objective production-distribution planning based on vendor-managed inventory strategy in a supply chain

2015 ◽  
Vol 115 (6) ◽  
pp. 1086-1112 ◽  
Author(s):  
Amir Hossein Niknamfar

Purpose – The production-distribution (P-D) problems are two critical problems in many industries, in particular, in manufacturing systems and the supply chain management. In previous researches on P-D planning, the demands of the retailers and their inventory levels have less been controlled. This may lead into huge challenges for a P-D plan such as the bullwhip effects. Therefore, to remove this challenge, the purpose of this paper is to integrate a P-D planning and the vendor-managed inventory (VMI) as a strong strategy to manage the bullwhip effects in supply chains. The proposed P-D-VMI aims to minimize the total cost of the manufacturer, the total cost of the retailers, and the total distribution time simultaneously. Design/methodology/approach – This paper presents a multi-objective non-linear model for a P-D planning in a three-level supply chain including several external suppliers at the first level, a single manufacturer at the second level, and multi-retailer at the third level. A non-dominated sorting genetic algorithm and a non-dominated ranking genetic algorithm are designed and tuned to solve the proposed problem. Then, their performances are statistically analyzed and ranked by the TOPSIS method. Findings – The applicability of the proposed model and solution methodologies are demonstrated under several problems. A sensitivity analysis indicates the market scale and demand elasticity have a substantial impact on the total cost of the manufacturer in the proposed P-D-VMI. Originality/value – Although the P-D planning is a popular approach, there has been little discussion about the P-D planning based on VMI so far. The novelty comes from developing a practical and new approach that integrates the P-D planning and VMI.

2011 ◽  
Vol 2011 ◽  
pp. 1-14 ◽  
Author(s):  
S. M. J. Mirzapour Al-e-Hashem ◽  
A. Baboli ◽  
S. J. Sadjadi ◽  
M. B. Aryanezhad

A multi-objective two stage stochastic programming model is proposed to deal with a multi-period multi-product multi-site production-distribution planning problem for a midterm planning horizon. The presented model involves majority of supply chain cost parameters such as transportation cost, inventory holding cost, shortage cost, production cost. Moreover some respects as lead time, outsourcing, employment, dismissal, workers productivity and training are considered. Due to the uncertain nature of the supply chain, it is assumed that cost parameters and demand fluctuations are random variables and follow from a pre-defined probability distribution. To develop a robust stochastic model, an additional objective functions is added to the traditional production-distribution-planning problem. So, our multi-objective model includes (i) the minimization of the expected total cost of supply chain, (ii) the minimization of the variance of the total cost of supply chain and (iii) the maximization of the workers productivity through training courses that could be held during the planning horizon. Then, the proposed model is solved applying a hybrid algorithm that is a combination of Monte Carlo sampling method, modified -constraint method and L-shaped method. Finally, a numerical example is solved to demonstrate the validity of the model as well as the efficiency of the hybrid algorithm.


2019 ◽  
Vol 39 (5) ◽  
pp. 783-802 ◽  
Author(s):  
Behzad Karimi ◽  
Mahsa Ghare Hassanlu ◽  
Amir Hossein Niknamfar

Purpose The motivation behind this research refers to the significant role of integration of production-distribution plans in effective performance of supply chain networks under fierce competition of today’s global marketplace. In this regard, this paper aims to deal with an integrated production-distribution planning problem in deterministic, multi-product and multi-echelon supply chain network. The bi-objective mixed-integer linear programming model is constructed to minimize not only the total transportation costs but also the total delivery time of supply chain, subject to satisfying retailer demands and capacity constraints where quantity discount on transportation costs, fixed cost associated with transportation vehicles usage and routing decisions have been included in the model. Design/methodology/approach As the proposed mathematical model is NP-hard and that finding an optimum solution in polynomial time is not reasonable, two multi-objective meta-heuristic algorithms, namely, non-dominated sorting genetic algorithm II (NSGAII) and multi-objective imperialist competitive algorithm (MOICA) are designed to obtain near optimal solutions for real-sized problems in reasonable computational times. The Taguchi method is then used to adjust the parameters of the developed algorithms. Finally, the applicability of the proposed model and the performance of the solution methodologies in comparison with each other are demonstrated for a set of randomly generated problem instances. Findings The practicality and applicability of the proposed model and the efficiency and efficacy of the developed solution methodologies were illustrated through a set of randomly generated real-sized problem instances. Result. In terms of two measures, the objective function value and the computational time were required to get solutions. Originality/value The main contribution of the present work was addressing an integrated production-distribution planning problem in a broader view, by proposing a closer to reality mathematical formulation which considers some real-world constraints simultaneously and accompanied by efficient multi-objective meta-heuristic algorithms to provide effective solutions for practical problem sizes.


2019 ◽  
Vol 39 (1) ◽  
pp. 58-76 ◽  
Author(s):  
Behzad Karimi ◽  
Amir Hossein Niknamfar ◽  
Babak Hassan Gavyar ◽  
Majid Barzegar ◽  
Ali Mohtashami

Purpose Today’s, supply chain production and distribution of products to improve the customer satisfaction in the shortest possible time by paying the minimum cost, has become the most important challenge in global market. On the other hand, minimizing the total cost of the transportation and distribution is one of the critical items for companies. To handle this challenge, this paper aims to present a multi-objective multi-facility model of green closed-loop supply chain (GCLSC) under uncertain environment. In this model, the proposed GCLSC considers three classes in case of the leading chain and three classes in terms of the recursive chain. The objectives are to maximize the total profit of the GCLSC, satisfaction of demand, the satisfactions of the customers and getting to the proper cost of the consumers, distribution centers and recursive centers. Design/methodology/approach Then, this model is designed by considering several products under several periods regarding the recovery possibility of products. Finally, to evaluate the proposed model, several numerical examples are randomly designed and then solved using non-dominated sorting genetic algorithm and non-dominated ranking genetic algorithm. Then, they are ranked by TOPSIS along with analytical hierarchy process so-called analytic hierarchy process-technique for order of preference by similarity to ideal solution (AHP-TOPSIS). Findings The results indicated that non-dominated ranked genetic algorithm (NRGA) algorithm outperforms non-dominated sorting genetic algorithm (NSGA-II) algorithm in terms of computation times. However, in other metrics, any significant difference was not seen. At the end, to rank the algorithms, a multi-criterion decision technique was used. The obtained results of this method indicated that NSGA-II had better performance than ones obtained by NRGA. Originality/value This study is motivated by the need of integrating the leading supply chain and retrogressive supply chain. In short, the highlights of the differences of this research with the mentioned studies are as follows: developing multi-objective multi-facility model of fuzzy GCLSC under uncertain environment and integrating the leading supply chain and retrogressive supply chain.


2018 ◽  
Vol 52 (4) ◽  
pp. 502-519 ◽  
Author(s):  
Luis Martí ◽  
Eduardo Segredo ◽  
Nayat Sánchez-Pi ◽  
Emma Hart

Purpose One of the main components of multi-objective, and therefore, many-objective evolutionary algorithms, is the selection mechanism. It is responsible for performing two main tasks simultaneously. First, it has to promote convergence by selecting solutions which are as close as possible to the Pareto optimal set. And second, it has to promote diversity in the solution set provided. In the current work, an exhaustive study that involves the comparison of several selection mechanisms with different features is performed. Particularly, Pareto-based and indicator-based selection schemes, which belong to well-known multi-objective optimisers, are considered. The paper aims to discuss these issues. Design/methodology/approach Each of those mechanisms is incorporated into a common multi-objective evolutionary algorithm framework. The main goal of the study is to measure the diversity preserved by each of those selection methods when addressing many-objective optimisation problems. The Walking Fish Group test suite, a set of optimisation problems with a scalable number of objective functions, is taken into account to perform the experimental evaluation. Findings The computational results highlight that the the reference-point-based selection scheme of the Non-dominated Sorting Genetic Algorithm III and a modified version of the Non-dominated Sorting Genetic Algorithm II, where the crowding distance is replaced by the Euclidean distance, are able to provide the best performance, not only in terms of diversity preservation, but also in terms of convergence. Originality/value The performance provided by the use of the Euclidean distance as part of the selection scheme indicates this is a promising line of research and, to the best of the knowledge, it has not been investigated yet.


2018 ◽  
Vol 13 (3) ◽  
pp. 605-625 ◽  
Author(s):  
Mohammad Khalilzadeh ◽  
Hadis Derikvand

Purpose Globalization of markets and pace of technological change have caused the growing importance of paying attention to supplier selection problem. Therefore, this study aims to choose the best suppliers by providing a mathematical model for the supplier selection problem considering the green factors and stochastic parameters. This paper aims to propose a multi-objective model to identify optimal suppliers for a green supply chain network under uncertainty. Design/methodology/approach The objective of this model is to select suppliers considering total cost, total quality parts and total greenhouse gas emissions. Also, uncertainty is tackled by stochastic programming, and the multi-objective model is solved as a single-objective model by the LP-metric method. Findings Twelve numerical examples are provided, and a sensitivity analysis is conducted to demonstrate the effectiveness of the developed mathematical model. Results indicate that with increasing market numbers and final product numbers, the total objective function value and run time increase. In case that decision-makers are willing to deal with uncertainty with higher reliability, they should consider whole environmental conditions as input parameters. Therefore, when the number of scenarios increases, the total objective function value increases. Besides, the trade-off between cost function and other objective functions is studied. Also, the benefit of the stochastic programming approach is proved. To show the applicability of the proposed model, different modes are defined and compared with the proposed model, and the results demonstrate that the increasing use of recyclable parts and application of the recycling strategy yield more economic savings and less costs. Originality/value This paper aims to present a more comprehensive model based on real-world conditions for the supplier selection problem in green supply chain under uncertainty. In addition to economic issue, environmental issue is considered from different aspects such as selecting the environment-friendly suppliers, purchasing from them and taking the probability of defective finished products and goods from suppliers into account.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Amir Rahimzadeh Dehaghani ◽  
Muhammad Nawaz ◽  
Rohullah Sultanie ◽  
Tawiah Kwatekwei Quartey-Papafio

PurposeThis research studies a location-allocation problem considering the m/m/m/k queue model in the blood supply chain network. This supply chain includes three levels of suppliers or donors, main blood centers (laboratories for separation, storage and distribution centers) and demand centers (hospitals and private clinics). Moreover, the proposed model is a multi-objective model including minimizing the total cost of the blood supply chain (the cost of unmet demand and inventory spoilage, the cost of transport between collection centers and the main centers of blood), minimizing the waiting time of donors in blood donating mobile centers, and minimizing the establishment of mobile centers in potential places.Design/methodology/approachSince the problem is multi-objective and NP-Hard, the heuristic algorithm NSGA-II is proposed for Pareto solutions and then the estimation of the parameters of the algorithm is described using the design of experiments. According to the review of the previous research, there are a few pieces of research in the blood supply chain in the field of design queue models and there were few works that tried to use these concepts for designing the blood supply chain networks. Also, in former research, the uncertainty in the number of donors, and also the importance of blood donors has not been considered.FindingsA novel mathematical model guided by the theory of linear programming has been proposed that can help health-care administrators in optimizing the blood supply chain networks.Originality/valueBy building upon solid literature and theory, the current study proposes a novel model for improving the supply chain of blood.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jianzhong Cui ◽  
Hu Li ◽  
Dong Zhang ◽  
Yawen Xu ◽  
Fangwei Xie

Purpose The purpose of this study is to investigate the flexible dynamic characteristics about hydro-viscous drive providing meaningful insights into the credible speed-regulating behavior during the soft-start. Design/methodology/approach A comprehensive dynamic transmission model is proposed to investigate the effects of key parameters on the dynamic characteristics. To achieve a trade-off between the transmission efficiency and time proportion of hydrodynamic and mixed lubrication, a multi-objective optimization of friction pair system by genetic algorithm is presented to obtain the optimal combination of design parameters. Findings Decreasing the engagement pressure or the ratio of inner and outer radius, increasing the lubricating oil viscosity or the outer radius will result in the increase of time proportion of hydrodynamic and mixed lubrication, as well as the transmission efficiency and its maximum value. After optimization, main dynamic parameters including the oil film thickness, angular velocity of the driven disk, viscous torque and total torque show remarkable flexible transmission characteristics. Originality/value Both the dynamic transmission model and multi-objective optimization model are established to analyze the effects of main design parameters on the dynamic characteristics of hydro-viscous flexible drive.


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