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Joint optimization for coordinated configuration of product families and supply chains by a leader-follower Stackelberg game

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  • Yang, Dong
  • Jiao, Jianxin (Roger)
  • Ji, Yangjian
  • Du, Gang
  • Helo, Petri
  • Valente, Anna

Abstract

Product family design by module configuration is conducive to accommodating product variety while maintaining mass production efficiency. Effective fulfillment of product families necessitates joint decision making of product family configuration (PFC) and downstream supply chain configuration (SCC), due to nowadays manufacturers’ moving towards assembly-to-order production throughout a distributed supply chain network. Existing decision models for joint optimization of product family and supply chain configuration are originated from an “all-in-one” approach that assumes both PFC and SCC decisions can be integrated into one optimization problem by aggregating two different types of objectives into a single objective function. Such an assumption neglects the complex tradeoffs underlying two different decision making problems and fails to reveal the inherent coupling of PFC and SCC.

Suggested Citation

  • Yang, Dong & Jiao, Jianxin (Roger) & Ji, Yangjian & Du, Gang & Helo, Petri & Valente, Anna, 2015. "Joint optimization for coordinated configuration of product families and supply chains by a leader-follower Stackelberg game," European Journal of Operational Research, Elsevier, vol. 246(1), pages 263-280.
    • Handle: RePEc:eee:ejores:v:246:y:2015:i:1:p:263-280
    DOI: 10.1016/j.ejor.2015.04.022
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    15. Wang, Jian & He, Shulin, 2022. "Optimal decisions of modularity, prices and return policy in a dual-channel supply chain under mass customization," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 160(C).
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    17. Xiong, Yixuan & Du, Gang & Jiao, Roger J., 2018. "Modular product platforming with supply chain postponement decisions by leader-follower interactive optimization," International Journal of Production Economics, Elsevier, vol. 205(C), pages 272-286.
    18. Gang Du & Yi Xia & Roger J. Jiao & Xiaojie Liu, 2019. "Leader-follower joint optimization problems in product family design," Journal of Intelligent Manufacturing, Springer, vol. 30(3), pages 1387-1405, March.
    19. Qi Wang & Peipei Qi & Shipei Li, 2021. "A Concurrence Optimization Model for Low-Carbon Product Family Design and the Procurement Plan of Components under Uncertainty," Sustainability, MDPI, vol. 13(19), pages 1-22, September.
    20. Wu, Jun & Du, Gang & Jiao, Roger J., 2021. "Optimal postponement contracting decisions in crowdsourced manufacturing: A three-level game-theoretic model for product family architecting considering subcontracting," European Journal of Operational Research, Elsevier, vol. 291(2), pages 722-737.
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