Determination of Material Flows in a Multi-echelon Assembly Supply Chain

This study aims to minimize the total cost of a four-echelon supply chain including suppliers, an assembler, distributers, and retailers. The total cost consists of purchasing raw materials from the suppliers by the assembler, assembling the final product, materials transportation from the suppliers...

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Main Authors: Mehrnoosh Taherkhani, Mehdi Seifbarghy
Format: Article
Language:English
Published: Islamic Azad University, Qazvin Branch 2012-09-01
Series:Journal of Optimization in Industrial Engineering
Subjects:
Online Access:http://www.qjie.ir/article_123_aace36fe0b8a06f107ee2bafecbac17f.pdf
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author Mehrnoosh Taherkhani
Mehdi Seifbarghy
author_facet Mehrnoosh Taherkhani
Mehdi Seifbarghy
author_sort Mehrnoosh Taherkhani
collection DOAJ
description This study aims to minimize the total cost of a four-echelon supply chain including suppliers, an assembler, distributers, and retailers. The total cost consists of purchasing raw materials from the suppliers by the assembler, assembling the final product, materials transportation from the suppliers to the assembler, product transportation from the assembler to the distributors, product transportation from the distributors to the retailers, and product holding and stock-out in the distribution centers. To this end, having modeled the problem addressed, a numerical example including ten suppliers, an assembler, three distributors and eight retailers in the chain is solved for four periods of time. Then the model is solved by a simulated annealing-based heuristic and LINGO. Finally, a set of 30 numerical problems of small and large sizes are developed and solved. The results indicate that simulated annealing-based heuristic provides near optimal solutions.
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spelling doaj.art-f840c96e61fe4371baaf6cb41ba37f142022-12-22T01:30:08ZengIslamic Azad University, Qazvin BranchJournal of Optimization in Industrial Engineering2251-99042423-39352012-09-015114352123Determination of Material Flows in a Multi-echelon Assembly Supply ChainMehrnoosh Taherkhani0Mehdi Seifbarghy1MSc, Faculty of Industrial and Mechanical Engineering, Qazvin Branch, Islamic Azad University, Qazvin, IranbAssistant Professor, Faculty of Industrial and Mechanical Engineering, Qazvin Branch, Islamic Azad University, Qazvin, IranThis study aims to minimize the total cost of a four-echelon supply chain including suppliers, an assembler, distributers, and retailers. The total cost consists of purchasing raw materials from the suppliers by the assembler, assembling the final product, materials transportation from the suppliers to the assembler, product transportation from the assembler to the distributors, product transportation from the distributors to the retailers, and product holding and stock-out in the distribution centers. To this end, having modeled the problem addressed, a numerical example including ten suppliers, an assembler, three distributors and eight retailers in the chain is solved for four periods of time. Then the model is solved by a simulated annealing-based heuristic and LINGO. Finally, a set of 30 numerical problems of small and large sizes are developed and solved. The results indicate that simulated annealing-based heuristic provides near optimal solutions.http://www.qjie.ir/article_123_aace36fe0b8a06f107ee2bafecbac17f.pdfMulti-echelonSupply ChainCost minimizationsimulated annealing
spellingShingle Mehrnoosh Taherkhani
Mehdi Seifbarghy
Determination of Material Flows in a Multi-echelon Assembly Supply Chain
Journal of Optimization in Industrial Engineering
Multi-echelon
Supply Chain
Cost minimization
simulated annealing
title Determination of Material Flows in a Multi-echelon Assembly Supply Chain
title_full Determination of Material Flows in a Multi-echelon Assembly Supply Chain
title_fullStr Determination of Material Flows in a Multi-echelon Assembly Supply Chain
title_full_unstemmed Determination of Material Flows in a Multi-echelon Assembly Supply Chain
title_short Determination of Material Flows in a Multi-echelon Assembly Supply Chain
title_sort determination of material flows in a multi echelon assembly supply chain
topic Multi-echelon
Supply Chain
Cost minimization
simulated annealing
url http://www.qjie.ir/article_123_aace36fe0b8a06f107ee2bafecbac17f.pdf
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