Multi-criteria Approaches to Supplier Selection and Order Allocation with Quqntity Discounts PDF Download

Author: Yuda Chen
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
In this thesis, a multi-criteria multi-period supplier selection and order allocation problem is studied. The supply chain system is modeled with a single buyer and multiple suppliers with deterministic demands as a mixed integer programming problem. Five objectives are included in the multi-period and multi-sourcing problem. All-unit quantity discount policy is also incorporated in the model. The five objectives considered are (1) procurement cost; (2) weighted average inventory; (3) weighted average shortage; (4) weighted average lead time (5) weighted average quality defect rate. Model constraints include demand balance constraints, all-unit discount policy constraints and capacity constraints of the suppliers. Weighted objective method and Goal programming methods (both preemptive and non-preemptive) are utilized to solve the multi-criteria mathematical programming problem. Weighted objective method is used to generate several efficient solutions by applying different sets of weights assigned to the five criteria. In both Preemptive goal programming and Non-preemptive goal programming, the specified goals for the five objectives are satisfied according to the decision maker's preference. A numerical example is presented to illustrate the Weighted objective and Goal programming methods. Twelves efficient solutions are analyzed visually through the Value Path Approach. A sensitivity analysis is conducted to study the impact of varying inventory factors and shortage factors on the optimal sourcing decisions.

Author: Rajesh S. Hadavale
Publisher:
ISBN:
Category : Business logistics
Languages : en
Pages : 181

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Book Description
Effective supply chain design relies on robust analytical models and decision tools. Many such models and tools have been developed to address the supplier selection and order allocation (SSOA) problem, ranging from simple techniques such as weighted scoring models to more complex models that employ mathematical programming techniques. However, most of the traditional SSOA tools and models have failed to consider: (1) Comprehensive and a standardized set of metrics, to guide the decision making process, ranging from suppliers attributes to strategic advantages, across the entire purchasing items categories, and (2) Linking products sourcing attributes to organizations sourcing strategies and goals priorities, in a common framework. The above two issues are addressed by presenting a structured framework with two separate but dependent phases. The first phase relates product's sourcing characteristics to organizations sourcing strategy and goals, and adopt a common set of metrics (qualitative and quantitative) to evaluate the relative efficiency of the suppliers - defined in terms of how the suppliers strength and its association transforms to organizations strategic benefits and ultimately to customers satisfaction. This evaluation is done using analytic hierarchy process (AHP) models. In the second phase the SSOA decision is made using a preemptive goal programming (PGP) - a multi-criteria decision-making methodology - with AHP ratings as its coefficients. The goal priorities chosen are representative of the sourcing strategy formulated for three categories of purchasing items: Strategic and Bottleneck, Leverage, and Routine. Strategic and Bottleneck purchasing items are difficult to manage while Leverage purchasing items are high value. Routine purchasing items are neither difficult to manage nor have high value. The contribution of this study is threefold: (1) It provides a structured decision making approach in the form of a comprehensive framework comprising of interrelated analytical mathematical models to select suppliers and determine their order size for different category of purchasing items. (2) It provides illustrative numerical examples and demonstrates the applicability, compliance and effectiveness of the developed integrated decision making approach, including models robustness and optimality of the decisions to changing parameters (Budget) and priorities (goals). (3) It contributes to the literature in the area at the intersection of strategic sourcing and SSOA with a comprehensive decision approach, which may be of interest to the corporate world to come to grips with the complexities of strategic sourcing.

Author: Mariya A. Sodenkamp
Publisher: Infinite Study
ISBN:
Category :
Languages : en
Pages : 16

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Book Description
We propose a novel meta-approach to support collaborative multi-objective supplier selection and order allocation (SSOA) decisions by integrating multi-criteria decision analysis and linear programming (LP).

Author: Ziqi Ding
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
This thesis considers the use of multi-criteria optimization methods applied to supplier selection and order allocation problem over a planning horizon under multiple sourcing strategy. The supply chain system is modeled with a single buyer and multiple suppliers with deterministic demands as a mixed integer programming problem.We study the supplier selection and order allocation problem with three objectives. The criteria considered are (1) total cost over the planning horizon; (2) weighted average lead time and (3) weighted average quality defect rate. We first develop the mathematical formulation for all three objectives and then present a general multi-period and multi-criteria optimization model for the procurement problem.Two methods are used to solve the multi-criteria mathematical programming problem. The first approach is the Weighted Objective method. It is used to generate several efficient solutions by changing the weights assigned to the three criteria. The second approach is the Goal Programming method, which is used to generate the optimal solutions that can satisfy the specified targets set for the three criteria according to the decision maker's preference. Several efficient points are generated by both Preemptive and Non-Preemptive Goal Programming methods. A numerical example is presented to illustrate both approaches. There are fourteen efficient solutions generated from both approaches. We compare the efficient solutions visually using the Value Path Approach. A sensitivity analysis is done to study the impact of changing the weight of the non-value added cost in the total cost objective.

Author: Ketan Shah
Publisher: Springer
ISBN: 3642202098
Category : Computers
Languages : en
Pages : 351

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Book Description
This book constitutes the refereed proceedings of the First International Conference on Technology Systems and Management, ICTSM 2011, held in Mumbai, India, in February 2011. The 47 revised full papers presented were carefully reviewed and selected from 276 submissions. The papers are organized in topical sections on computer engineering and information technology; electronics and telecommunication; as well as technology management.

Author: Hu-Chen Liu
Publisher: Springer Nature
ISBN: 9811603820
Category : Business & Economics
Languages : en
Pages : 366

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Book Description
This book offers an introduction to various models and methods for green supplier evaluation and selection (GSES) within different information settings. As such, it provides valuable knowledge, useful GSES methods and practical examples that can be considered by manufacturers in selecting appropriate green suppliers to improve their environmental performance and customer satisfaction. This book is useful for practitioners and researchers working in the fields of supply chain management, operation management, information science, industrial engineering, and management science. It is also useful as a textbook for postgraduate and senior undergraduate students.

Author: Anish Sachdeva
Publisher: Springer Nature
ISBN: 981156017X
Category : Technology & Engineering
Languages : en
Pages : 460

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Book Description
This book comprises select peer-reviewed contributions from the 6th International Conference on Production and Industrial Engineering (CPIE – 2019). The volume focuses on latest research in the field of Industrial and Systems Engineering, and its allied areas. Articles on variety of topics such as Human Factors Engineering, Lean Manufacturing, Six Sigma, Logistics and Supply Chain Management, Operations Research, Quality Engineering, Measurement and Control, Reliability and Maintenance Engineering, Green Supply Chain Management, Modelling and Simulation, Sustainability, Technology Management, Agile and Flexible Manufacturing, Technology Management and Computer Aided Manufacturing are discussed in this book. Given the range of topics covered, the book will be useful for students, researchers, and professionals interested in different areas of Industrial and Systems Engineering.

Author: Swapnil Phansalkar
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
In this thesis, a multi criteria decision making model for supplier selection and order allocation is developed under demand uncertainty. The primary goal of this model is to assist the buyer in making the decision regarding the selection of suppliers and allocation of order quantities to the selected suppliers to satisfy demand for each product in every time period. The multi criteria decision making model has the following three objectives: to minimize the total cost over planning horizon, to minimize the total number of quality defects and to minimize the weighted average lead time. The demand is assumed to follow normal distribution and shortages are allowed in this model. Further, each supplier is assumed to provide all unit type of price discount for each part. A mathematical formulation is done for each objective and then a general model for multiple products, multiple suppliers, multiple time periods and multiple price discount levels is developed. The multi criteria model includes the buyer's demand constraints, the supplier's capacity constraints and the supplier's price break constraints. The following decisions are to be made in this model: to select the appropriate suppliers considering the objectives of the model and to determine the optimal order quantity from the selected suppliers to satisfy the buyer's demand for each time period. This model uses weighted objective method to determine the optimal solution to the multi criteria decision making problem.

Author: Krishnendu Mukherjee
Publisher: Springer
ISBN: 8132237005
Category : Technology & Engineering
Languages : en
Pages : 144

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Book Description
The purpose of this book is to present a comprehensive review of the latest research and development trends at the international level for modeling and optimization of the supplier selection process for different industrial sectors. It is targeted to serve two audiences: the MBA and PhD student interested in procurement, and the practitioner who wishes to gain a deeper understanding of procurement analysis with multi-criteria based decision tools to avoid upstream risks to get better supply chain visibility. The book is expected to serve as a ready reference for supplier selection criteria and various multi-criteria based supplier’s evaluation methods for forward, reverse and mass customized supply chain. This book encompasses several criteria, methods for supplier selection in a systematic way based on extensive literature review from 1998 to 2012. It provides several case studies and some useful links which can serve as a starting point for interested researchers. In the appendix several computer code written in MatLab and VB.NET is also included for the interested reader. Lucid explosion of various techniques used to select and evaluate suppliers is one of the unique characteristic of this book. Moreover, this book gives in depth analysis of selection and evaluation of suppliers for traditional supply chain, closed loop supply chain, supply chain for customized product, green supply chain, sustainable supply chain and also depicts methods for supply base reduction and selection of large number of suppliers.

Author: Sravani Budidedu
Publisher: LAP Lambert Academic Publishing
ISBN: 9783659821073
Category :
Languages : en
Pages : 104

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Book Description
The world is becoming more and more a global market place and the global environment is forcing companies to take almost everything into consideration to remain competitive and respond rapidly in changing markets. In this context, supplier selection represents one of the most important functions to be performed by the purchasing department. The present book deals with the problem of selecting suppliers and state of the art required in selection process. The book has enormous impotence in providing information related to understanding different selection criteria, various problems of supplier selection and the existing methods to solve the problems. The book emphasizes on efficient multi criteria decision making approach in relation to quality evaluation and performance appraisal in supplier selection. The book reviews the main streams of consideration in multi criteria decision making theory and practice in detail. Also, the book is expected to adequately meet the information of providing a clear and concise account of various applications and approaches which are most robustly and effectively usable to identify best alternatives