IDEAS home Printed from https://ideas.repec.org/h/spr/isochp/978-3-319-58823-0_10.html
   My bibliography  Save this book chapter

Selection of Primary and Recovery Supply and Demand Portfolios and Scheduling

In: Supply Chain Disruption Management Using Stochastic Mixed Integer Programming

Author

Listed:
  • Tadeusz Sawik

    (AGH University of Science and Technology)

Abstract

A new portfolio approach and MIP formulations with an embedded network flow problem are developed for selection of primary and recovery suppliers and assembly plants in the presence of supply chain disruption risks. Unlike most of reported research on supply chain disruption management a disruptive event is assumed to impact both a primary supplier of parts and the buyer’s firm primary assembly plant. Then the firm may choose alternate (recovery) suppliers and move production to alternate (recovery) plants along with transshipment of parts from the impacted primary plant to the recovery plants. The resulting allocation of unfulfilled demand for parts among recovery suppliers and unfulfilled demand for products among recovery assembly plants determines recovery supply and demand portfolio, respectively. The selection of supply and demand portfolios is determined simultaneously with production scheduling in assembly plantsProduction scheduling . An integrated decision-making approach with the perfect information about the potential future disruption scenarios is compared with a hierarchical approach with no such information available ahead of time. The best-case and worst-case analysis indicates that for the hierarchical approach the best-case and worst-case disruption scenarios are, respectively subsets and supersets of the corresponding scenarios for the integrated approach. The findings also indicate that when all primary suppliers are completely shutdown, a single sourcing recovery supply portfolio is usually selected, while multiple recovery plants may be selected, even if all primary plants are shutdown. The proposed portfolio approach along with a MIP model that accounts for both time and cost of recovery may prove to be a flexible and efficient tool for supply chain disruption management.

Suggested Citation

  • Tadeusz Sawik, 2018. "Selection of Primary and Recovery Supply and Demand Portfolios and Scheduling," International Series in Operations Research & Management Science, in: Supply Chain Disruption Management Using Stochastic Mixed Integer Programming, chapter 0, pages 271-311, Springer.
    • Handle: RePEc:spr:isochp:978-3-319-58823-0_10
    DOI: 10.1007/978-3-319-58823-0_10
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:isochp:978-3-319-58823-0_10. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.