scholarly journals Designing a dual-channel supply chain network considering dependent demand and discount

Author(s):  
Fatemeh Fatemeh Askarian Amiri ◽  
Mohammad Mahdi Paydar ◽  
Abdul Sattar Safaei

Nowadays, organizations are faced with the growth of markets, satisfying customers’ demand and empowering in competing with rivals imposed new communication channels.  Along with the rapid advancement of the Internet, many suppliers are interested in creating an electronic channel in addition to the traditional retailer channel for direct market participation. This distribution system which includes retailer channels and direct channels is called a dual-channel supply chain. This study reviews a leather supply chain network that has created a discounted online channel to expand its market share. In this study, a multi-period multi-product mathematical model is developed to maximize the profit and examine the effect of different discount schemes on demand and sales. To verify the proposed model, a real-world case study is conducted. The sensitivity analyses examined the important model parameters. The obtained results show that the responsiveness of the main retailers could be more than 95%. According to the sensitivity analysis, an appropriate discount rate is reported in the direct channel.

2018 ◽  
Vol 2 (01) ◽  
pp. 19-25
Author(s):  
Hilyatun Nuha ◽  
Putu Eka Dewi Karunia Wati

The development of internet brings great influence in business management, especially in supply chain. Transaction conducted through the internet in supply chain known e-fulfillment, is an integrated process from receiving customer order, managing transaction, warehousing, managing transportation, communicating, with customer using media of information technology. Online sales concept opens up the researchers to conduct research on online sales and offline sales simultaneously, known Dual Channel Supply Chain (DCSC). One category of products that are sold using this structure is fashion product. However, selling fashion product using DCSC structure it still has shortcomings and challenges. Due to customer can not make a selection, viewing and researching product and quality inspaction product dierctly. Based on this, some enterprises provide product warranty sales system offered. Warranty as a guarantee given to customer to provide security and comfort for making purchases. Warranty gives impact on price of product, both online and offline. This leads to the need to do a calculation the optimum price considering money back warranty. Optimum price obtained in the model demand function using quadratic programming adressing the objective function in the form profit maximum in individual channel (Pw, Ps dan Po) as well as whole profit in DCSC by considering the value of money back warranty   (g). The result obatained is optimum price for two scenarios. There are optimum price in individual channel without money back warranty and optimum price in online channel with accomodate money back warranty.   Keywords—dual channel supply chain (DCSC); money back warranty; optimization.


Author(s):  
Aida Rezaei ◽  
Tina Shahedi ◽  
Amir Aghsami ◽  
Fariborz Jolai ◽  
Hamidreza Feili

Integrating strategic and tactical decisions to location-allocation and green inventory planning by considering e-commerce features will pave the way for supply chain managers. Therefore, this study provides an effective framework for making decisions related to different levels of the dual-channel supply chain. We provide a bi-objective location-allocation-inventory optimization model to design a dual-channel, multi-level supply chain network. The main objectives of this study are to minimize total cost and environmental impacts while tactical and strategic decisions are integrated. Demand uncertainty is also addressed using stochastic modeling, and inventory procedure is the periodic review . We consider many features in inventory modeling that play a very important role, such as lead time, shortage, inflation, and quality of raw materials, to adapt the model to the real conditions. Since a dual-channel supply chain is becoming more important for sustainable economic development and resource recovery, we combine online and traditional sales channels to design a network. We generate five test problems and solve them by using the augmented ε-constraint method. Also, the Grasshopper optimization algorithm was applied to solve the model in a reasonable time for a large size problem. In order to provide managerial insights and investigate the sensitivity of variables and problem objectives with respect to parameters, sensitivity analysis was performed.


2021 ◽  
Vol 8 ◽  
Author(s):  
Nai-Ru Xu ◽  
Jie Cheng ◽  
Zheng-Qun Cai

When manufacturers construct a dual-channel distribution system, which includes online and offline sales channels, they need to solve the inventory management problem to ensure supply and reduce inventory costs of the supply chain system. The dual-channel supply chain is the research object, and the inventory decision model is designed to achieve optimal profit when market demand is divided into online and offline demands. The results of the numerical analysis and simulations, conducted using MATLAB, indicate that both the manufacturer and the retailer increase their inventories and that their profits decrease when demand uncertainty increases. Besides, the increase in the online demand ratio causes the increase in the manufacturer’s inventory and reduces the profits of the retailer and the entire supply chain.


Author(s):  
Hong Zhang ◽  
Kuan Yang

A well-designed supply chain network should not only meet the efficient cost but also realize the sustainable effect on environment. The purpose of this article is to develop a multi-objective model to capture the trade-off between total cost and environmental performance in the green dual-channel supply chain network. Moreover, the transportation mode has been considered as a decision variable. With regard to the complexity of such network, a new swarm intelligence algorithm known as a multi-objective particle swarm optimization (MOPSO) algorithm has been employed to tackle this problem. The effectiveness of the present model and approach is evaluated by a numerical experiment, and the results show that the added environmental performance is actually proportional with the increased cost. Additionally, the comparison between different mode decisions shows that a better trade-off between two objectives will be obtained when considering the transportation mode selection.


2021 ◽  
Vol 13 (16) ◽  
pp. 9407
Author(s):  
Lily Poursoltan ◽  
Seyed-Mohammad Seyed-Hosseini ◽  
Armin Jabbarzadeh

The closed-loop supply chain considers conceptually the possibility of reverse logistics with the use of recycling, remanufacturing and disposal centers. This study contributes for the first time a green closed-loop supply chain framework for the ventilators, which are highly important in the case of the COVID-19 pandemic. The proposed model simulates a case study of Iranian medical ventilator production. The proposed model includes environmental sustainability to limit the carbon emissions as a constraint. A novel stochastic optimization model with strategic and tactical decision making is presented for this closed-loop supply chain network design problem. To make the proposed ventilator logistics network design more realistic, most of the parameters are considered to be uncertain, along with the normal probability distribution. Finally, to show the managerial dimensions under the COVID-19 pandemic for our proposed model, some sensitivity analyses are performed. Results confirm the high impact of carbon emissions and demand variations on the optimal solution in the case of COVID-19.


2017 ◽  
Vol 1 (02) ◽  
pp. 19
Author(s):  
Hilyatun Nuha ◽  
Putu Eka Dewi Karunia Wati

The development of internet brings great influence in business management, especially in supply chain. Transaction conducted through the internet in supply chain known e-fulfillment, is an integrated process from receiving customer order, managing transaction, warehousing, managing transportation, communicating, with customer using media of information technology. Online sales concept opens up the researchers to conduct research on online sales and offline sales simultaneously, known Dual Channel Supply Chain (DCSC). One category of products that are sold using this structure is fashion product. However, selling fashion product using DCSC structure it still has shortcomings and challenges. Due to customer can not make a selection, viewing and researching product and quality inspaction product dierctly. Based on this, some enterprises provide product warranty sales system offered. Warranty as a guarantee given to customer to provide security and comfort for making purchases. Warranty gives impact on price of product, both online and offline. This leads to the need to do a calculation the optimum price considering money back warranty. Optimum price obtained in the model demand function using quadratic programming adressing the objective function in the form profit maximum in individual channel (Pw, Ps and Po) as well as whole profit in DCSC by considering the value of money back warranty (g). The result obatained is optimum price for two scenarios. There are optimum price in individual channel without money back warranty and optimum price in online channel with accomodate money back warranty.


2021 ◽  
Author(s):  
Mohammad Ehsan Zerafati ◽  
Ali Bozorgi-Amiri ◽  
Amir-Mohammad Golmohammadi ◽  
Fariborz Jolai

Abstract Recently, due to the efficiency of cultivating microalgae, researchers and investors have paid considerable attention to the production of different biofuel products that are environmentally friendly. In this study, a two-stage deterministic model is proposed to design a microalgae-based biofuels and co-products supply chain network (MBCSCN). In the first stage, the appropriate locations for the cultivation of microalgae are identified through the analytical hierarchy process (AHP). In the second stage, a deterministic mathematical mixed integer linear programing (MILP) model is developed for a period of five years based on the criteria of economic and environmental impacts. The economic objective function maximizes the overall profit, while the environmental impacts objective function seeks to minimize the consumed fossil fuel throughout the supply chain. Then, a multi-objective MILP optimization problem is solved using the ε-constraint method. The proposed model is evaluated through a case study in Iran. It has helped to identify appropriate locations for the cultivation of microalgae and to specify the required quantity of feedstock, the species of microalgae, the required technology, and the transportation modes in each step of the supply chain.


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