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Vehicle Procurement Policy for Humanitarian Development Programs

Author

Listed:
  • Mahyar Eftekhar

    (W.P Carey School of Business, Department of Supply Chain Management - ASU - Arizona State University [Tempe])

  • Andrea Masini

    (GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique)

  • A. Robotis

    (Operations Management Area - ALBA Graduate Business School)

  • Luk van Wassenhove

    (Technology and Operations Management Area - INSEAD - Institut Européen d'administration des Affaires)

Abstract

This article aims to identify optimal vehicle procurement policies for organizations engaged in humanitarian development programs and to derive general insights on the characteristics of these policies. Toward that end, we follow an inductive approach. First, we study the operations of the International Committee of the Red Cross (ICRC) in three representative countries: Sudan, Afghanistan, and Ethiopia. Using a linear programming (LP) model primed with field data provided by the ICRC, we calculate the optimal vehicle fleet size and compare it with the policies actually implemented. Second, drawing from results of the LP model, we develop a stylized quadratic control model and use it to characterize the general structure of the optimal policy under different demand scenarios and operational constraints. After demonstrating that the results of the control model are consistent with those of the LP model in the specific context analyzed, we discuss the optimal policies and the applicability of the former as a practical tool for strategic asset planning.

Suggested Citation

  • Mahyar Eftekhar & Andrea Masini & A. Robotis & Luk van Wassenhove, 2014. "Vehicle Procurement Policy for Humanitarian Development Programs," Post-Print hal-01066490, HAL.
    • Handle: RePEc:hal:journl:hal-01066490
    DOI: 10.1111/poms.12108
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    Citations

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    Cited by:

    1. Oliveira, Beatriz Brito & Carravilla, Maria Antónia & Oliveira, José Fernando, 2017. "Fleet and revenue management in car rental companies: A literature review and an integrated conceptual framework," Omega, Elsevier, vol. 71(C), pages 11-26.
    2. De Boeck, Kim & Decouttere, Catherine & Jónasson, Jónas Oddur & Vandaele, Nico, 2022. "Vaccine supply chains in resource-limited settings: Mitigating the impact of rainy season disruptions," European Journal of Operational Research, Elsevier, vol. 301(1), pages 300-317.
    3. Ansaripoor, Amir H. & Oliveira, Fernando S., 2018. "Flexible lease contracts in the fleet replacement problem with alternative fuel vehicles: A real-options approach," European Journal of Operational Research, Elsevier, vol. 266(1), pages 316-327.
    4. Gu, Liyi & Ryzhov, Ilya O. & Eftekhar, Mahyar, 2021. "The facts on the ground: Evaluating humanitarian fleet management policies using simulation," European Journal of Operational Research, Elsevier, vol. 293(2), pages 681-702.
    5. Moshtari, Mohammad & Altay, Nezih & Heikkilä, Jussi & Gonçalves, Paulo, 2021. "Procurement in humanitarian organizations: Body of knowledge and practitioner's challenges," International Journal of Production Economics, Elsevier, vol. 233(C).
    6. Jónas Oddur Jónasson & Kamalini Ramdas & Alp Sungu, 2022. "Social impact operations at the global base of the pyramid," Production and Operations Management, Production and Operations Management Society, vol. 31(12), pages 4364-4378, December.
    7. Timperio, Giuseppe & Kundu, Tanmoy & Klumpp, Matthias & de Souza, Robert & Loh, Xiu Hui & Goh, Kelvin, 2022. "Beneficiary-centric decision support framework for enhanced resource coordination in humanitarian logistics: A case study from ASEAN," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 167(C).
    8. Christian Wankmüller & Gerald Reiner, 2021. "Identifying Challenges and Improvement Approaches for More Efficient Procurement Coordination in Relief Supply Chains," Sustainability, MDPI, vol. 13(4), pages 1-23, February.
    9. Lorena Reyes-Rubiano & Jana Voegl & Klaus-Dieter Rest & Javier Faulin & Patrick Hirsch, 2021. "Exploration of a disrupted road network after a disaster with an online routing algorithm," OR Spectrum: Quantitative Approaches in Management, Springer;Gesellschaft für Operations Research e.V., vol. 43(1), pages 289-326, March.

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