Supply chain network design with direct and indirect production costs: Hybrid gradient and local search based heuristics

Alzaman, Chaher; Zhang, Zhi‐Hai; Diabat, Ali

doi:10.1016/j.ijpe.2018.06.004

Cited by 17 publications

(8 citation statements)

References 43 publications

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“…Accordingly, the results of our proposed model presented a direct proportion between the transportation costs increase and the COQ. The results agree with previous numerical studies, for example, Alzaman et al (2018).…”

Section: Discussion Of Findingssupporting

confidence: 93%

“…Even though the quality is an ambiguous term to define, as it is understood from a different perspective by manufacturers and end-users, delivering a satisfactory quality product is an ultimate goal of all SC entities. Cost of quality (COQ) is used as a measuring tool to evaluate any production system performance and companies which pay greater importance to the quality policy achieve better results regarding the level of COQ management (Glogovac and Filipovic, 2018; Alzaman et al , 2018). In the SC perspective, COQ could be utilized as a key performance measure and evaluation tool.…”

Section: Introductionmentioning

confidence: 99%

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Supply chain network design based on cost of quality and quality level analysis

Alglawe

Schiffauerova

Kuzgunkaya

et al. 2019

TQM

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Purpose The purpose of this paper is to explore the impact of the cost of quality (COQ) expenditure allocations on a capacitated supply chain (SC) network. Design/methodology/approach This paper proposes a non-linear optimization model which integrates the opportunity cost (OC) (i.e. customer satisfaction cost), into the COQ with consideration of the QL in the supply chain network design decisions. In addition, it examines the effect of considering an investment at each SC echelon to ensure the best overall QL. A numerical example is presented to illustrate the behavior of the model. Findings The results show how the QL, COQ and facility location decisions change when incorporating the OC, investments and transportation costs into the SC model. Originality/value The novelty of this paper is that it considers the effect of OC, investment at each echelon and transportation costs on SC design by minimizing the overall spending on the COQ. These issues have not been explored, and for that reason, this paper contributes to the understanding of the critical factors that optimizes the SC COQ.

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Section: Discussion Of Findingssupporting

confidence: 93%

Section: Introductionmentioning

confidence: 99%

Supply chain network design based on cost of quality and quality level analysis

Alglawe

Schiffauerova

Kuzgunkaya

et al. 2019

TQM

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“…Supply chain network design with direct and indirect production costs: Hybrid gradient and local searchbased heuristics 2018 (Alzaman et al, 2018) 36 Integrated optimization of location, inventory, and routing in supply chain network design 2019 (Zheng et al, 2019) 37 Fuzzy Bi-Objective Model for a Supply Chain Network Design Problem Considering Stochastic Transportation Leadtime 2019 (Sadeghi et al, 2019) 38…”

Section: Otros Conceptosmentioning

confidence: 99%

Integrated optimization of location, inventory and routing in supply chain network design

Zheng

Yin

Zhang

2019

Transportation Research Part B: Methodological

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En este espacio deseo extender mis agradecimientos a:• A mi familia por ser el pilar y motor de vida; que me hace ser cada vez mejor.• La Universidad Nacional de Colombia, profesores y director de trabajo de grado, por permitirme continuar con mi formación profesional y personal.• La empresa de caso de estudio, la cual me brindó los mecanismos para lograr este trabajo. v ResumenLa gestión de la cadena de abastecimiento principalmente se enfoca en alinear cada uno de los actores que la componen con el objetivo de maximizar el valor generado entre el costo del producto o servicio y su precio de venta, satisfaciendo así las necesidades de los clientes; sin embargo, en algunos sectores como el farmacéutico, este objetivo se orienta más hacia la maximización del valor para el cliente, ya que los productos farmacéuticos están relacionados en un 100% con la salud y el bienestar de las personas. Actualmente, la competitividad de los mercados está dada por la eficiencia de las cadenas de suministro y no por los productos directamente, por tanto, el diseño de la cadena de suministro tiene un alto grado de relevancia e importancia, siendo este un criterio decisivo a la hora de continuar en un mercado cada vez más competitivo.El desarrollo de este ejercicio se enfoca en determinar cuál debe ser la configuración de la cadena de suministro de productos farmacéuticos desde un enfoque de red saliente, tomando como caso de estudio un actor del sector farmacéutico colombiano, iniciando con un proceso de caracterización del modelo actual de abastecimiento, posteriormente se propone la configuración de red de abastecimiento identificando las posibles locaciones de las plataformas de abastecimiento que integran la red y se realiza la estructuración de costos fijos y variables asociados a la apertura de plataformas, el envío de producto desde plataformas a droguerías y el suministro del producto. Teniendo en cuenta la configuración de la red y los costos asociados, se desarrolló un modelo matemático para establecer las posibles configuraciones de red de abastecimiento en función de tiempo y costos. Este modelo es implementado por una herramienta computacional, generando como resultado una serie de configuraciones en función de los tiempos máximos de envío de la red que resultan ser óptimos bajo el objetivo de minimizar los costos totales. Por último, se propondrán recomendaciones en función de decisiones de tipo operativo, táctico y estratégico, las cuales podrán ser implementadas en corto, mediano y largo plazo, ya que, bajo los modelos propuestos, en el corto plazo se podrán proponer reducciones del 5% en los costos logísticos totales, en el mediano plazo, el servicio podrá optimizarse disminuyendo los tiempos de entrega de la red en un 6,5%, permitiendo no aumentar los costos totales.Palabras Claves: Diseño de cadena de suministro, centros de abastecimiento y distribución, modo de transporte, tiempos de entrega, costos logísticos.

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“…Supply chain management is one strategy for businesses to enhance their overall performance and profitability (Alzaman et al 2018). In dealing with production, proper allocation of operational resources in a production process affects profitability significantly.…”

Section: Introductionmentioning

confidence: 99%

“…In dealing with production, proper allocation of operational resources in a production process affects profitability significantly. Supply chain network design (SCND) modeling primarily aims to optimize operational resources by accounting for various opportunities and constraints along the chain (Alzaman et al 2018). According to Baghalian et al (2013), an SCND deals with the strategic decisions of the chain, such as the number, location, and capacity of entities in each stage of the chain.…”

Section: Introductionmentioning

confidence: 99%

Optimization Model of Supply Chain Network Design for Small-scale Banana Flour Production Using Deterministic and Metaheuristic Approach

Oguis¹,

Ligue²,

Mata³

et al. 2022

Philipp J Sci

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Problems concerning low-profit-generating production occur in many small producer enterprises, including banana flour production by small-scale Cavendish banana farmers. One usual difficulty is the inability of these small producers to adjust to market conditions due to limited resources. These farmers are unable to allocate adequate resources such as transport vehicles, equipment, and laborers to various activities in the production process. This paper formulated a mixed-integer linear programming model based on a supply chain network design for banana flour production. This model aimed to determine the optimal number of resources for a producer organization to maximize its total profit. The deterministic branch-and-bound technique and metaheuristic binary firefly algorithm were implemented to obtain the model solution. Based on a case study, both approaches consistently showed that to maximize the profit for small-scale banana flour production, they must operate one mill and one truck with a 4,000- kg maximum capacity and hire nine non-regular and 14 regular laborers. The methodology developed in this study can also be applied to other banana producer organizations with a similar supply chain network to explore alternative enterprises and improve profitability.

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Supply chain network design with direct and indirect production costs: Hybrid gradient and local search based heuristics

Cited by 17 publications

References 43 publications

Supply chain network design based on cost of quality and quality level analysis

Supply chain network design based on cost of quality and quality level analysis

Integrated optimization of location, inventory and routing in supply chain network design

Optimization Model of Supply Chain Network Design for Small-scale Banana Flour Production Using Deterministic and Metaheuristic Approach

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