Abstract
A multi-echelon supply chain design problem concerns the structure of the network and allocation of resources of the company to meet the demand forecast. This paper tries to design a multi-echelon supply chain network with five echelons including supplier, cross-dock, plant, distribution center and representative (customer). For this purpose, a mixed-integer mathematical model is developed to investigate the location of cross-docks, distribution centers, and also allocation between each pair of parties in order to minimize total cost of location and transportation. Due to the complexity of the model, a novel genetic algorithm is developed and applied on a real-world case study of Iran Khodro Company (IKCO) in Iran. Experimental results show the performance of the proposed Genetic Algorithm.
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