A robust fuzzy-stochastic optimization model for managing open innovation uncertainty in the ambidextrous supply chain planning problem

Abstract

This paper studies the effect of the open innovation concept in the product design process and supply chain master planning. Complex uncertainties caused by using outbound resources within co-design processes, financial challenges between the collaborating parties, and integrating outbound innovative designs with supply chain tactical planning problem are taken into account. To this end, a robust fuzzy-stochastic optimization model is proposed which can integrate the product design with the main activities of a multi-product supply chain. The proposed model is able to cope with different type of uncertainties including random, epistemic and deep uncertainties. Integrating the financial and physical flows, using a novel pricing mechanism, and considering the outside-in innovations in the product design process are the outstanding contributions of the proposed model. Furthermore, to cover both the short-term and long-term success criteria, ambidexterity of the studied supply chain is taken into account via two conflicting explorative and exploitive objectives. Results indicate the superiority of the presented model and its ability in supporting managerial decisions in the mid-term planning process.