scholarly journals Effects of Unequal Lot Size and Variable Transportation in Unreliable Supply Chain Management

Mathematics ◽  
2020 ◽  
Vol 8 (3) ◽  
pp. 357 ◽  
Author(s):  
Soumya Kanti Hota ◽  
Biswajit Sarkar ◽  
Santanu Kumar Ghosh

The effect of unreliable players on the supply chain management with a single-setup-multi-unequal-increasing-delivery-policy (SSMUID) along with a service-dependent demand and investment is discussed in this model. The manufacturer is unreliable which causes an increase of lead time and shortage. For solving the shortage problem and reducing lead time crashing cost (LTCC), an investment is utilized with the variable backorder price discounts. The number of transportation increases due to the new transportation policy and it causes pollution. Besides the fixed transportation and carbon emission cost (FTCEC), a container dependent carbon emission cost is applied. Some investments for setup cost reduction (SCR), ordering cost reduction (OCR), and quality improvement (QI) are considered. The lead time demand follows a normal distribution. The total cost of the supply chain is optimized and the model is tested numerically. The main intent of this study is to solve the shortage problem which occurs due to unreliability of the manufacturer. The study helps to reduce the unreliability issue of the manufacturer. The objective function is solved by using the classical optimization technique. Numerical results show that the discount for partial backorder enhances the profitability of the manufacturer. The sensitiveness of the parameters are discussed through the sensitivity of analysis and some special cases. Managerial insights provide the applicability of this study among different sectors.

Mathematics ◽  
2019 ◽  
Vol 7 (4) ◽  
pp. 328 ◽  
Author(s):  
Bikash Dey ◽  
Biswajit Sarkar ◽  
Sarla Pareek

This model investigates the variable production cost for a production house; under a two-echelon supply chain management where a single vendor and multi-retailers are involved. This production system goes through a long run system and generates an out-of-control state due to different issues and produces defective items. This model considers the reduction of the defective rate and setup cost through investment. A discrete investment for setup cost reduction and a continuous investment is considered to reduce the defective rate and to increase the quality of products. Setup and processing time are dependent on lead time in this model. The model is solved analytically to find the optimal values of the production rate, safety factors, optimum quantity, lead time length, investment for setup cost reduction, and the probability of the production process going out-of-control. An efficient algorithm is constructed to find the optimal solution numerically and sensitivity analysis is given to show the impact of different parameters. A case study and different cases are also given to validate the model.


Mathematics ◽  
2019 ◽  
Vol 7 (5) ◽  
pp. 480 ◽  
Author(s):  
Asif Iqbal Malik ◽  
Biswajit Sarkar

In this paper, a supply-chain (SC) coordination method based on the lead-time crashing is proposed for a seller–buyer system. By considering different transportation modes, we control the lead-time (LT) variability. For the first time, we have attempted to determine the impact of the reliable and unreliable seller in a continuous-review supply-chain model under the stochastic environment. The authors discussed two reliability cases for the seller. First, we consider the seller is unreliable and in the second case, the seller is reliable. In addition, the demand during the lead time is stochastic with the known mean and variance. The proposed approach tries to find an optimal solution that performs well without a specific probability distribution. Besides, a discrete investment is made to reduce the setup cost, which will indirectly help supply-chain members to increase the total profit of the system. In the proposed model, the seller motivates the buyer by reducing lead time to take part in coordinating decision-making for the system’s profit optimization. We derive the coordination conditions for both members, the seller and the buyer, under which they are convinced to take part in the cooperative decision-making plan. Therefore, lead-time crashing is the proposed incentive mechanism for collaborative supply-chain management. We use a fixed-charge step function to calculate the lead-time crashing cost for slow and fast shipping mode. We give two numerical examples to validate the proposed models and demonstrate the service-level enhancement under the collaborative supply-chain management in case of an unreliable seller. Concluding remarks and future extensions are discussed at the end.


Mathematics ◽  
2020 ◽  
Vol 8 (4) ◽  
pp. 466 ◽  
Author(s):  
Mowmita Mishra ◽  
Soumya Kanti Hota ◽  
Santanu Kumar Ghosh ◽  
Biswajit Sarkar

Considering the increasing number of end-of-life goods in the context of improving the ambience and health of a population and their destructive impacts, recycling strategies are important for industries and organizations. In this article, a closed-loop supply chain management containing a single manufacturer, a single retailer, and a third party is introduced in which the manufacturer first propagates newly finished goods and then dispatches some of the finished goods to the retailer considering a single-setup multi-delivery policy. Due to shipping, carbon emission is taken into account as well as a carbon emission trading mechanism to curb the amount of carbon emissions by the retailer. For recycling through collection, inspection, remanufacturing, and landfill, the third party collects the end-of-life goods from its customers and ships perfect products to the manufacturer after a two-stage inspection. In this model, major sources of emissions such as shipping, replenishment orders, and inventory have been taken care of. The minimizing of the total cost relating to the container capacity, shipment numbers, and replenishment cycle length is the main objective of the closed-loop supply chain management for making the system more profitable. Expository numerical explorations, analysis, and graphic representations are conferred to elucidate this model, and it is observed that this model saves some percentage of the cost compared to the existing literature.


Mathematics ◽  
2020 ◽  
Vol 8 (6) ◽  
pp. 911 ◽  
Author(s):  
Asif Iqbal Malik ◽  
Biswajit Sarkar

The necessity of coordination among entities is essential for the success of any supply chain management (SCM). This paper focuses on coordination between two players and cost-sharing in an SCM that considers a vendor and a buyer. For random demand and complex product production, a flexible production system is recommended. The study aims to minimize the total SCM cost under stochastic conditions. In the flexible production systems, the production rate is introduced as the decision variable and the unit production cost is minimum at the obtained optimal value. The setup cost of flexible systems is higher and to control this, a discrete investment function is utilized. The exact information about the probability distribution of lead time demand is not available with known mean and variance. The issue of unknown distribution of lead time demand is solved by considering a distribution-free approach to find the amount of shortages. The game-theoretic approach is employed to obtain closed-form solutions. First, the model is solved under decentralized SCM based on the Stackelberg model, and then solved under centralized SCM. Bargaining is the central theme of any business nowadays among the players of an SCM to make their profit within a centralized and decentralized setup. For this, a cost allocation model for lead time crashing cost based on the Nash bargaining model with the satisfaction level of SCM members is proposed. The cost allocation model under Nash bargaining achieves exciting results in SCM coordination.


2015 ◽  
Vol 1092-1093 ◽  
pp. 1591-1596
Author(s):  
Jian Hua Chen ◽  
Hui Ting Guo ◽  
Liang Sun ◽  
Wei Bo ◽  
Liang Chen

This paper explores on the green supply chain management for enterprises based on the carbon emission assessment for products. The assessment showed that the priorities of green supply chain management measures were different for washing machine, air conditioner and microwave. The washing machine manufacturer should firstly focus on the measures to the upstream suppliers associated with the product eco-design, and secondly the product energy efficiency increase. The air conditioner manufacturer should first focus on the product energy efficiency increase, and secondly the eco-design, especially the refrigerant improvement. But the energy efficiency increase would be the only effective way for microwave. This work shows the method applies to the household appliance manufacturer to identify the green supply chain hot point, as the information of products is easier to obtain, and the effort performance could be shown intuitively along with the consuming process.


2020 ◽  
Vol 5 (3) ◽  
Author(s):  
Wahyu Ashri Aditya ◽  
Ida Musfiroh

Manajemen rantai pasok (Supply Chain Management) pada aspek pergudangan di suatu Industri Farmasi merupakan parameter yang sangat penting dalam suatu rantai distribusi sediaan farmasi; yang terdiri atas penerimaan, penyimpanan hingga pengiriman produk farmasi. Sistem penyimpanan dan pengiriman obat di Industri Farmasi yang baik dan benar mengacu pada Cara Pembuatan Obat yang Baik (CPOB) Tahun 2018 Bab 6 tentang Cara Penyimpanan dan Pengiriman Obat yang Baik. Gudang yang belum menerapkan CPOB akan mengalami kerugian serta kerusakan fisik sediaan farmasi dan juga kerugian finansial akibat produk yang pasif di gudang. Hal ini berdampak kepada penurunan kualitas warehouse dari Industri tersebut. Selain itu, pemetaan proses gudang dilakukan guna melihat dan menghilangkan pemborosan dalam proses kerja agar lead time dapat diperpendek secara signifikan dan kualitas diciptakan dengan benar sejak awal. Maka dari itu, diperlukan adanya evaluasi kegiatan pergudangan dan pemetaan proses pergudangan pada warehouse salah satu Industri Farmasi di Jakarta yang bertujuan untuk melihat kesesuaian kegiatan Gudang dengan CPOB dan menghilangkan pemborosan pada gudang. Penelitian dilaksanakan selama bulan Maret 2020 dengan melakukan pengamatan secara observasional dan dilakukan evaluasi. Hasil pengamatan menunjukkan bahwa Industri Farmasi telah memenuhi ketentuan sesuai CPOB akan tetapi masih terdapat beberapa sistem yang memerlukan kesesuaian lebih lanjut dengan CPOB untuk menghindari waste (pemborosan) dalam proses kerja sehingga diperlukan CAPA untuk evaluasi pada Industri Farmasi tersebut.Kata Kunci: Evaluasi, Pergudangan, Warehouse, Industri Farmasi, CPOB, Waste.


2018 ◽  
Vol 2018 ◽  
pp. 1-14
Author(s):  
Rong-Hwa Huang ◽  
Tung-Han Yu ◽  
Chen-Yun Lee

Supply chain management and integration play a key factor in contemporary manufacturing concept. Companies seek to integrate itself within a cooperative and mutual benefiting supply chain. Supply chain scheduling, as an important aspect of supply chain management, highly emphasizes on minimizing stock costs and delivery costs. Most previous researches on supply chain scheduling problems assume make-to-order production, which includes delivery cost in lot-size. This practice simplifies the complexity of the problem. Instead, this research discusses make-to-contract production, where the supply chain has a rolling planning horizon that changes according to contracts. Within a planning horizon, two types of interval are defined. The first is frozen interval, in which the manufacturing decision cannot be changed. The second is free interval, where schedules can be adjusted depending on new contracts. This research aims to build a robust rolling supply management schedule to satisfy customers’ needs, by considering supplier, production, and delivery lot-size simultaneously. The objective is to effectively decide a combination of supplier, production, and delivery lot-size that minimizes total cost consisting of supplier cost, finish good stock cost, and delivery cost. Based on the concept, this study designs a problem-solving process that combines the methods of rolling planning horizon and genetic algorithm. Delivery size (DS), finish good stock (FS), and early delivery cost (ED) are the three methods applied; each will provide a guideline to produce a feasible solution. By further considering the fluctuations in practical needs and performing an overall evaluation, a robust and optimal supply chain scheduling plan can be decided, including the optimal lot-sizes of supplier, production, and delivery. In the effectiveness test which considers 3 types of customer demands and 11 types of company cost structures, the simulated data test results suggest that the proposed methods in this study have excellent performance.


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