scholarly journals Supply chain integration within mass customization: Tactical procurement, production and distribution modeling

2021 ◽  
Vol 14 (2) ◽  
pp. 250
Author(s):  
Mouad Benbouja ◽  
Achraf Touil ◽  
Abdelwahed Echchatbi ◽  
Abdelkabir Charkaoui
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Mass Customization ◽  
Programming Model ◽  
Exact Method ◽  
Raw Material ◽  
Mixed Integer ◽  
Dyadic Relationships ◽  
Distribution Modeling ◽  
Production And Distribution

Purpose: The actual market characteristic oriented toward customers’ requirements compels decision-makers to foresee customization abilities. Mass customization represents a valuable approach to combine customizable offers with mass production processes. From a supply chain standpoint, this paper attempts to develop an integrated procurement, production and distribution modeling to describe the generated framework structure formulation within tactical decision planning level.Design/methodology/approach: The paper provides a mixed integer linear programming model of a three echelon supply chain illustrated from the automotive industry with (a) customers: Original Equipment Manufacturers (OEMs) identified as leaders and (b) first-tier supplier: wiring harnesses manufacturer (c) second-tier supplier: raw material supplier, identified as followers. The model formulation is depicted through dyadic relationships between stakeholders considering the specific operation enablers of the environment such as make to order, modular approach in addition to the corresponding inventory management policy.Findings: The integrated model is solved by an exact method which illustrates the feasibility of the formulation in addition to the observance of the applied constraints. A sensitivity analysis is performed to highlight the interdependency across some key parameters to provide managerial insights within the studied framework while keeping the optimal solvability of the model.Research limitations/implications: The limitation of this study is the computational experiment study. An extensive experiment with a real-word case will outline the optimal solvability status of the exact method and the necessity for a performance benchmark through the approximate solving approaches.Originality/value: The present research aims to contribute as first studies toward mathematical modeling for supply chain decision planning endeavor operating within mass customization business model.

The Optimization of Costs of Supply Chain Network

2015 ◽  
Vol 741 ◽  
pp. 801-805
Author(s):  
Zhuo Dai
Keyword(s):  
Supply Chain ◽  
Programming Model ◽  
Transportation Cost ◽  
Raw Material ◽  
Mixed Integer ◽  
Variable Cost ◽  
Fixed Cost ◽  
Supply Chain Network ◽  
Distribution Centers ◽  
Penalty Cost

This research proposes a muti-echelon supply chain network design model. The model includes raw material suppliers, manufacturers, distribution centers, and customer zones. The purpose of this research is to minimize the total costs of supply chain network. The total costs include transportation cost, fixed cost, variable cost, penalty cost. This model is a mixed integer linear programming model. In general, it is very difficult to solve the model. In order to solve the model, Cplex12.6 is used. The results show that this model can be solved by this mathematical programming software well.

scholarly journals Multi-Objective Optimization to Support the Design of a Sustainable Supply Chain for the Generation of Biofuels from Forest Waste

2021 ◽  
Vol 13 (14) ◽  
pp. 7774
Author(s):  
Edgar Gutierrez-Franco ◽  
Andres Polo ◽  
Nicolas Clavijo-Buritica ◽  
Luis Rabelo
Keyword(s):  
Supply Chain ◽  
Term Structure ◽  
Programming Model ◽  
Raw Material ◽  
Mixed Integer ◽  
Production Plant ◽  
Sustainable Supply Chain ◽  
Forest Residues ◽  
Multi Objective ◽  
Trade Offs

The production and supply chain management of biofuels from organic waste as raw material has been identified as a promising strategy in the field of renewable energies and circular economy initiatives. This industry involves complex tasks such as strategic land use, feedstock purchasing, production plant location, production capacity strategy, and material flows, which can be solved by mathematical modeling. The study proposed a multi-objective mixed-integer linear programming model to design a sustainable supply chain of biofuels with forest residues from its triple function: economic, environmental, and social. The trade-offs between the proposed objectives were determined with computational results. The proposed objectives were profit maximization, CO2 minimization, and employment generation maximization. Thus, the proposed model serves as a tool for decision-making, allowing the projection of a long-term structure of the biofuel supply chains and contribute to the United Nations Sustainable Development Goals.

The Design of Closed-Loop Supply Chain Network

2015 ◽  
Vol 744-746 ◽  
pp. 1910-1914
Author(s):  
Zhuo Dai
Keyword(s):  
Supply Chain ◽  
Closed Loop ◽  
Programming Model ◽  
Raw Material ◽  
Mixed Integer ◽  
Variable Cost ◽  
Fixed Cost ◽  
Supply Chain Network ◽  
Distribution Centers ◽  
Closed Loop Supply Chain

This paper designs a model of muti-echelon closed-loop supply chain network (CLSC network). CLSC network includes raw material suppliers, manufacturers, distribution centers, collection centers and customer zones. The purpose of this paper is to minimize the overall costs of CLSC network. The overall costs include transportation cost, fixed cost, variable cost, penalty cost. This model is a mixed integer linear programming model. In general, it is very difficult to solve the model. Cplex12.6 is used in order to deal with this model. The results show that this model can be solved by Cplex12.6 well.

Complex Real-Life Supply Chain Planning Problems

2011 ◽  
pp. 102-127 ◽  
Author(s):  
Behnam Fahimnia ◽  
Mohammad Hassan Ebrahimi ◽  
Reza Molaei
Keyword(s):  
Supply Chain ◽  
Current Literature ◽  
Real Life ◽  
Raw Material ◽  
Mixed Integer ◽  
Supply Chain Planning ◽  
Production And Distribution ◽  
Complex Models ◽  
Tools And Techniques ◽  
Planning Problems

Supply chain planning concerns the selection of strategies and methodologies to facilitate the optimal flow of material from raw material suppliers to end-users through procurement, production and distribution activities. Supply chain (SC) implementation has significant impacts on the financial performance of manufacturing and distribution companies. Developing real-life SC models with centralised planning naturally leads to complex models which are difficult to solve optimally. This chapter firstly presents a comprehensive review on the current literature of SC planning and optimisation and classifies the published models based on their complexity. Next, a mixed-integer non-linear formulation is presented for modelling complex real-life SC planning problems which accommodates the identified gaps in the current literature. Evaluation of the available tools and techniques for the optimisation of the proposed SC model will conclude this chapter.

Complex Real-Life Supply Chain Planning Problems

2012 ◽  
pp. 1441-1466
Author(s):  
Behnam Fahimnia ◽  
Mohammad Hassan Ebrahimi ◽  
Reza Molaei
Keyword(s):  
Supply Chain ◽  
Current Literature ◽  
Real Life ◽  
Raw Material ◽  
Mixed Integer ◽  
Supply Chain Planning ◽  
Production And Distribution ◽  
Complex Models ◽  
Tools And Techniques ◽  
Planning Problems

Supply chain planning concerns the selection of strategies and methodologies to facilitate the optimal flow of material from raw material suppliers to end-users through procurement, production and distribution activities. Supply chain (SC) implementation has significant impacts on the financial performance of manufacturing and distribution companies. Developing real-life SC models with centralised planning naturally leads to complex models which are difficult to solve optimally. This chapter firstly presents a comprehensive review on the current literature of SC planning and optimisation and classifies the published models based on their complexity. Next, a mixed-integer non-linear formulation is presented for modelling complex real-life SC planning problems which accommodates the identified gaps in the current literature. Evaluation of the available tools and techniques for the optimisation of the proposed SC model will conclude this chapter.

scholarly journals A Multifactory Integrated Production and Distribution Scheduling Problem with Parallel Machines and Immediate Shipments Solved by Improved Whale Optimization Algorithm

Complexity ◽  
2018 ◽  
Vol 2018 ◽  
pp. 1-21 ◽  
Author(s):  
Vahid Abdollahzadeh ◽  
Isa Nakhaikamalabadi ◽  
Seyyed Mohammad Hajimolana ◽  
Seyyed Hesamoddin Zegordi
Keyword(s):  
Supply Chain ◽  
Optimization Algorithm ◽  
Large Scale ◽  
Parallel Machines ◽  
Programming Model ◽  
Whale Optimization Algorithm ◽  
Mixed Integer ◽  
Test Problems ◽  
Whale Optimization ◽  
Production And Distribution

This paper discusses the integrated scheduling of production and distribution operations in a multifactory supply chain with make-to-order production system. For the production side of the supply chain, we considered distributed parallel-established factories with identical parallel machines available at each factory. We assumed that the factories could produce all customers’ orders with different production rates and costs. For the distribution side of the supply chain, we considered a limited number of homogeneous vehicles that immediately distribute the finalized orders to the customers. Then, a mixed-integer nonlinear programming model is developed to determine the detailed scheduling of production and distribution that minimizes the total costs of the supply chain including production, distribution, and late delivery costs. To solve the real-world scale problems, we developed a new whale optimization algorithm (WOA). Moreover, we conducted computational experiments by generating several test problems to evaluate the proposed algorithm. Statistical analysis showed that the proposed algorithm has better performance than traditional WOA for different scales of the problem. Moreover, it confirms the capability of the improved whale optimization algorithm (IWOA) to solve the medium-scale instances; however, the results indicate the better performance of genetic algorithm (GA) for the large-scale instances.

Coordinating lot sizing and integrated production and distribution scheduling with batch delivery and holding cost

Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Maedeh Bank ◽  
Mohammad Mahdavi Mazdeh ◽  
Mahdi Heydari ◽  
Ebrahim Teimoury
Keyword(s):  
Supply Chain ◽  
Lot Sizing ◽  
Mixed Integer ◽  
Time Interval ◽  
Content Type ◽  
Integrated Production ◽  
Holding Costs ◽  
Integrated Production And Distribution ◽  
Distribution Scheduling ◽  
Production And Distribution

PurposeThe aim of this paper is to present a method for finding the optimum balance between sequence-dependent setup costs, holding costs, delivery costs and delay penalties in an integrated production–distribution system with lot sizing decisions.Design/methodology/approachTwo mixed integer linear programming models and an optimality property are proposed for the problem. Since the problem is NP-hard, a genetic algorithm reinforced with a heuristic is developed for solving the model in large-scale settings. The algorithm parameters are tuned using the Taguchi method.FindingsThe results obtained on randomly generated instances reveal a performance advantage for the proposed algorithm; it is shown that lot sizing can reduce the average cost of the supply chain up to 11.8%. Furthermore, the effects of different parameters and factors of the proposed model on supply chain costs are examined through a sensitivity analysis.Originality/valueAlthough integrated production and distribution scheduling in make-to-order industries has received a great deal of attention from researchers, most researchers in this area have treated each order as a job processed in an uninterrupted time interval, and no temporary holding costs are assumed. Even among the few studies where temporary holding costs are taken into consideration, none has examined the effect of splitting an order at the production stage (lot sizing) and the possibility of reducing costs through splitting. The present study is the first to take holding costs into consideration while incorporating lot sizing decisions in the operational production and distribution problem.

scholarly journals Local Blood Supply Chain Optimization: A Case Study

2020 ◽  
Vol 18 (4) ◽  
Author(s):  
Reza Babazadeh ◽  
Ali Sabbaghnia ◽  
Fatemeh Shafipour
Keyword(s):  
Supply Chain ◽  
Blood Supply ◽  
Blood Donation ◽  
Programming Model ◽  
Human Life ◽  
Mixed Integer ◽  
Model Parameters ◽  
Supply Chain Optimization ◽  
Blood Supply Chain ◽  
Proposed Model

: Blood and its products play an undeniable role in human life. In recent years, although both academics and practitioners have investigated blood-related problems, further enhancement is still warranted. In this study, a mixed-integer linear programming model was proposed for local blood supply chain management. A supply network, including temporary and fixed blood donation facilities, blood banks, and blood processing centers, was designed regarding the deteriorating nature of blood. The proposed model was applied in a real case in Urmia, Iran. The numerical results and sensitivity analysis of the key model parameters ensured the applicability of the proposed model.

scholarly journals Optimizing the Supply Chain in a Fuel Process Industry

2021 ◽  
Vol 12 (5) ◽  
pp. 549-553
Author(s):  
Amit Agrawal
Keyword(s):  
Supply Chain ◽  
Performance Management ◽  
Inventory Management ◽  
Best Practice ◽  
Business Processes ◽  
Raw Material ◽  
Bottom Line ◽  
Supply Chain Efficiency ◽  
Value Streams ◽  
And Performance

The Supply Chain Improvement (SCO) project is being introduced by KNPC, which recognises the major business advantages of improved hydrocarbon supply chain efficiency. The objectives of this work is to strengthen, optimise, and integrate supply scheduling and processes not just at stage of enterprise, but also throughout the entire KNPC framework. This is expected to lead to an improvement in the company's bottom line and facilitate the management of business operations at the highest level of efficiency, agility and profitability. In ever changing market conditions and globally competitiveness, it is necessary that raw material supply storage and product delivery were carried out at the lowest possible time and efficiency. Otherwise export oriented refinery like KNPC cannot remain in business with profit. KNPC has therefore embarked on ambitious multi-year operational excellence programs aimed at enhancing its operations and business processes that include short / mid-term planning, scheduling, accounting for growth, inventory management, and performance management. The aim is to achieve top-quartile financial results by accessing new value streams, encapsulating business processes of best practice and motivating employees of businesses to work in a collaborative atmosphere within the global and cross-functional business cycle to make smarter, quicker and more competitive choices.

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