A model of resilient supply chain network design: A two-stage programming with fuzzy shortest path

• Published in: Expert systems with applications Vol. 41; no. 1; pp. 39 - 49
• Main Authors: Kristianto, Yohanes, Gunasekaran, Angappa, Helo, Petri, Hao, Yuqiuqe
• Format: Journal Article
• Language: English
• Published: Elsevier Ltd 01.01.2014
• Subjects: Benders decomposition; Computer networks; Fuzzy; Fuzzy set; Fuzzy set theory; Networks; Programming; Resilient supply chain; Routing (telecommunications); Shortest path problem; Shortest-path problems; Supply chain design; Supply chains; Two-stage programming; Shortest path problem; Two-stage programming; Supply chain design; Benders decomposition; Fuzzy set; Resilient supply chain
• ISSN: 0957-4174; 1873-6793
• DOI: 10.1016/j.eswa.2013.07.009

A supply chain network design needs to consider the future probability of reconfiguration due to some problems of disaster or price changes. The objective of this article is to design a reconfigurable supply chain network by optimizing inventory allocation and transportation routing. A two-stage programming is composed according to Benders decomposition by allocating inventory in advance and anticipating the changes of transportation routings; thus the transportation routing is stochastic in nature. In addition, the fuzzy shortest path is developed to solve the problem complexity in terms of the multi-criteria of lead time and capacity with an efficient computational method. The results and analysis indicate that the proposed two-stage programming with fuzzy shortest path surpasses the performance of shortest path problem with time windows and capacity constraint (SPPTWCC) in terms of less computational time and CPU memory consumption. Finally, management decision-making is discussed among other concluding remarks.