期刊名称:Journal of Industrial Engineering and Management Science
电子版ISSN:2446-1822
出版年度:2018
卷号:2017
期号:1
页码:241-262
DOI:10.13052/jiems2446-1822.2017.012
语种:English
出版社:River Publishers
摘要:The network design determines the physical configuration and infrastructure of the supply chain. An efficient supply chain network design is essential for organizations as it aims to minimize the total cost and the products reach the demand points at lowest cost possible with flexible demand. In order to design the supply chain network, an optimization model is developed with a single objective to minimize the total cost. The model determines the best locations of network nodes to minimize the total cost while satisfying the customer demands. The objective function considers the minimization of transportation cost, production cost and the operational costs for the facilities. The incorporation of budget constraint, delivery mode, cross-route costs, maximum flow by a shipping firm, production capacity of the plants, stocking capacity of distribution centers and traffic factors on the supply routes in the mathematical model further broadened the problem. Computational results for different data sets revealed that the proposed solution approach and mathematical model is effective. Also, it has been demonstrated that the benefits of considering traffic factor, cross-route costs, delivery mode and shipping firm selection during supply chain network design phase are significant.