Abstract
In a real world application supply chain, there are many elements of uncertainty such as supplier performance, market demands, product price, operation time, and shipping method which increases the difficulty for manufacturers to quickly respond in order to fulfil the customer requirements. In this paper, the authors developed a fuzzy mathematical model to integrate different operational functions with the aim to provide satisfy decisions to help decision maker resolve production problem for all functions simultaneously. A triangular fuzzy number or possibilistic distribution represents all the uncertainty parameters. A comparison between a fuzzy model, a possibilistic model and a deterministic model is presented in this paper in order to distinguish the effectiveness of model in dealing the uncertain nature of supply chain. The proposed models performance is evaluated based on the operational aspect and computational aspect. The fuzzy model and the possibilistic model are expected to be more preferable to respond to the dynamic changes of the supply change network compared to the deterministic model. The developed fuzzy model seems to be more flexible in undertaking the lack of information or imprecise data of a variable in real situation whereas possibilistic model is more practical in solving an existing systems problem that has available data provided.
Highlights
In today’s global marketplace, individual enterprise is no longer sought after for individual achievement
This study proposes a multi-stage, single product, multi-echelon and multi-period supply chain network to investigate the benefit of the fuzzy linear programming (FLP) model and possibilistic linear programming (PLP) in dealing with demand uncertainty, process uncertainty and supply uncertainty issues
This study investigated the simultaneous optimization for SC planning with different integrated operational functions in the supply chain system with market demand uncertainties, manufacturing process uncertainties and supplier uncertainties
Summary
In today’s global marketplace, individual enterprise is no longer sought after for individual achievement. [1] shares the five main supply chain practices that will equip a business to stay competitive and improve its organizational performance These are supplier partnership, customer relationship, quality of information sharing, level of information sharing and postponement. A supply chain model plays a significant role in supply chain management (SCM) for reducing the operational costs, reducing cycle time, and improving order-fulfilment rate and customer satisfaction level. A tactical model is considered as a mid-term planning model and mostly applied in optimizing SC process performance by utilizing available resources such as supplier, inventory, distribution center and transportation. A tactical model will be designed and developed for the supply chain planning problems dealing with uncertainty which has not been researched much upon
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