A fairness-based multi-objective distribution and restoration model for enhanced resilience of supply chain transportation networks

Abstract

Disruptive events play a significant role in the performance of supply chain networks (SCNs) due to their high dependency on transportation networks. Therefore, it is critical to develop coordinated strategies that consider (i) efficient restoration plans for the transportation network (TN) and (ii) distribution plans for downstream SCN, which consider critical aspects such as road congestion, travel time, and required service levels. Thus, we propose a novel multi-objective non-linear mixed-integer programming (NMIP) model to deal with disruptions in transportation networks while maximizing SCN performance. We developed a model for optimal restoration that reduces the effects of disruptions that disrupt the performance of the road TN and SCNs while considering a fair distribution of commodities. The model provides optimal restoration strategies for the TN after unpredicted events, not only based on a cost-effectiveness approach but also on the fair distribution of commodities among demand nodes on a complex network structure with a multi-supplier, multi-demand, and multi-commodity framework. To illustrate the model's capabilities, we study the transportation of commodities in Colombia and how disruptions impact their SCN performance. The results show that a fairness-based distribution helps to obtain satisfaction rates faster when compared to restoration plans based on cost-effectiveness only.