Supply Chain Networks with Multicritera Decision Makers (original) (raw)

Supply Chain Networks with Multicriteria Decision-Makers

2002

This paper presents a theoretical framework for supply chain network modeling, analysis, and computation in the presence of competition, in which all the decision-makers, who are located at distinct tiers of the network, are multicriteria decision-makers. In particular, in this framework, transportation time and transportation cost are explicit criteria and these can depend on the service level provided. The optimality conditions of the different tiers of decision-makers, consisting of manufacturers, retailers, and consumers are derived, as well as the equilibrium conditions of the integrated model. The variational inequality formulation of the governing equilibrium conditions is then utilized to obtain qualitative properties as well as a computational procedure for the determination of the equilibrium product shipments between the tiers of the network, the prices, as well as the service levels.

Multitiered Supply Chain Networks: Multicriteria Decision - Making Under Uncertainty

Annals of Operations Research, 2005

In this paper, we present a supply chain network model with multiple tiers of decision-makers, consisting, respectively, of manufacturers, distributors, and retailers, who can compete within a tier but may cooperate between tiers. We consider multicriteria decision-making for both the manufacturers and the distributors whereas the retailers are subject to decision-making under uncertainty since the demands associated with the product are random. We derive the optimality conditions for the decision-makers, establish the equilibrium conditions, and derive the variational inequality formulation. We then utilize the variational inequality formulation to provide both qualitative properties of the equilibrium product shipment, service level, and price pattern and to propose a computational procedure, along with convergence results. This is the first supply chain network model to capture both multicriteria decision-making and decision-making under uncertainty in an integrated equilibrium framework.

Global supply chain network dynamics with multicriteria decision-making under risk and uncertainty

Transportation Research Part E: Logistics and Transportation Review, 2005

In this paper, we consider the dynamics of a global supply chain network economy in the presence of risk and uncertainty in which distinct speeds of adjustment are included. We assume three tiers of decision-makers: manufacturers, distributors, and retailers, who acquire the product in order to satisfy the demand at the demand markets. The manufacturers, distributors, and retailers may be based in the same or in different countries and may transact in different currencies. We allow for electronic transactions in the form of electronic commerce between the manufacturers and the retailers as well as between the distributors and the retailers since the retailers may be physical or virtual. In addition, supply-side risk and demand-side risk are handled in our formulation with the former being expressed as a multicriteria decision-making problem for each manufacturer and distributor (with distinct weights associated with the criteria) and the latter being handled with the use of uncertain demands. The proposed framework allows for the modeling and theoretical analysis of such global supply chain networks, which involve competition within a tier of decision-makers but cooperation between tiers. Numerical examples are provided for illustrative purposes.

Criteria for decision-making in transportation logistics function

2015 International Conference on Industrial Engineering and Operations Management (IEOM), 2015

This paper presents the first phase of a methodology for making decisions in transportation for the Supply Chain (SC), in the first part is presented the importance of transactional costs in transportation and the decision levels. Then the interrelationships and dependencies are shown for criteria in Transportation Logistics Function (TLF). Finally is presented the design of the Multicriteria Decision Network (MCDN), used to support decision-making by managers of goods and transportation companies for modes or carriers selection in the Supply Chain, together with theirs concepts for to standardize the criteria from the literature review.

A framework for transportation decision making in an integrated supply chain

Supply Chain Management-an International Journal, 2000

There has been little conceptual work that comprehensively examines the changing role of the corporate transportation function in the modern business environment. Successful managers today require a broad view of transportation management's role and responsibilities in an integrated supply chain. This manuscript clarifies the major transportation decision areas and introduces a framework that positions corporate transportation management within the overall integrated supply chain environment. The framework portrays initial transportation decisions as strategic, long-term decisions that focus on the overall supply chain transportation system. Once decisions are understood at this level, the decision-making scope becomes increasingly tactical in nature, focusing on operations that implement the overall system decisions.

Multi-Criteria Supply Chain Network Design Under Uncertainty

2012

This thesis contributes to the debate on how uncertainty and concepts of sustainable development can be put into modern supply chain network and focuses on issues associated with the design of multi-criteria supply chain network under uncertainty. First, we study the literature review , which is a review of the current state of the art of Supply Chain Network Design approaches and resolution methods. Second, we propose a new methodology for multi-criteria Supply Chain Network Design (SCND) as well as its application to real Supply Chain Network (SCN), in order to satisfy the customers demand and respect the environmental, social, legislative, and economical requirements. The methodology consists of two different steps. In the first step, we use Geographic Information System (GIS) and Analytic Hierarchy Process (AHP) to buildthe model. Then, in the second step, we establish the optimal supply chain network using Mixed Integer Linear Programming model (MILP). Third, we extend the MILP...

Dynamics of supply chains: a multilevel (logistical – informational – financial) network perspective

Environment and Planning B-planning & Design, 2002

In this paper, we propose a multilevel network perspective for the conceptualization of the dynamics underlying supply chains in the presence of competition. The multilevel network consists of: the logistical network, the informational network, and the financial network. We describe the behavior of the network decision-makers, which are spatially separated, and which consist of the manufacturers/producing firms, the retailers, and the consumers located at the demand markets. We propose a projected dynamical system, along with stability analysis results, that captures the adjustments of the commodity shipments and the prices over space and time. A discrete-time adjustment process is described and implemented in order to illustrate the evolution of the commodity shipments and prices to the equilibrium solution in several numerical examples.

Supply Chains in Network Economy

Communications - Scientific letters of the University of Zilina

A supply chain can be shown as a set of units interconnected by material, financial, information and decision flows from initial suppliers to ultimate customers. Supply chain management is more and more affected by network business environment and by information and communication technologies. The paper analyzes a combination of non-cooperative and cooperative decision making of supply chains in network economy.

Multi-criteria decision-making in the transport sector

Analytic Hierarchy Process - Models, Methods, Concepts, and Applications [Working Title]

The transportation sector appears to be among the most highly competitive, in a continuous search for effectiveness and efficiency. In the logic of decision-making processes, to meet the competitive needs of the sector, optimization, or the selection of the best element, with respect to some criterion, from a set of available alternatives, appears central. Business choices seek to achieve the optimum, i.e., the best or most favourable condition, or the maximum amount or degree possible under a specific set of comparable circumstances. In addition to traditional decision making, there is the technique of linear programming, which is an optimization problem in which the objective function is a linear function subject to linear constraints, which may be equalities and/or inequalities. Linear programming problems have a strong practical interest because many real-life problems can be modelled in terms of linear programming, since the approach to the decisions made is approximately linea...

Three essays in supply chain management

2002

The three essays in this thesis address various problems in the general area of supply chain management. In general, supply chain management is concerned with management of the flow of goods, information, and funds among supply chain members, such as suppliers, manufacturers, distributors, retailers, and consumers. As such, its scope includes timing and quantity of material flow, logistics, improving efficiencies in problems with several decision makers, etc. The first essay in this thesis considers the problem of improving coordination in a decentralized system of retailers, while the second one addresses stability and profitability of Internet-based supply exchange alliances. The third essay analyzes a logistics problem, of finding an optimal route for a capacitated vehicle which travels on a graph and which can perform pickups and deliveries. In the first essay, we study a three-stage model of a decentralized distribution system with n retailers who each faces a stochastic demand...