Mathematical Optimization Models
Ali Abdi; Seyed Hadi Nasseri
Abstract
Purpose: One of the fundamental problems in the field of supply chain management is the problem of supply chain design. In this problem, the goal is to determine the location for establishing a number of facilities in different geographical areas to cover the demands of customers.
Methodology: In this ...
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Purpose: One of the fundamental problems in the field of supply chain management is the problem of supply chain design. In this problem, the goal is to determine the location for establishing a number of facilities in different geographical areas to cover the demands of customers.
Methodology: In this problem, the static and dynamic network is considered. Suppose the network is static, with the help of the iterated local search algorithm. In that case, the number and location of distribution centers are determined, and customers are assigned to each distribution center. If the network is dynamic, after determining the initial number and location of distribution centers and assigning customers to distribution centers, events related to network dynamics, such as customer decrease, customer increase, and variable size of demands, are investigated by customers. In addition, our proposed method considers the failure modes of network components. Also, the ability to survive the network can be seen in both network modes.
Findings: The results obtained from the experiments were analyzed in terms of evaluation criteria. The results of the experiments show the superiority of the proposed method compared to the CLSC and TSCFL methods.
Originality/Value: By studying the related works in the past in locating facilities in the supply chain network, attention to the design of a multi-level supply chain and the problem of finding facilities has yet to be considered. In addition, facility dynamics and network survivability are not considered at the time of failure. Therefore, in this research, we have tried to reduce the cost by choosing the appropriate location of facilities and assigning customers to each of these facilities. Also, we will design the network so that it can be in a stable state and continue to operate when a network failure occurs.