Abstract

Two echelon cold supply chain model is developed in which warehouse and retailer are the two main actors of supply chain. The model is based on energy consumption cost for chiller system and the stochastic lead time. To incorporate the quality degradation, global stability index (GSI) method is used. The objective is to analyze the effect of retailer’s storage temperature and nutritional index weightage on the total cost of supply chain. A breakdown structure of all the associated costs is developed to formulate the total cost of cold chain. A numerical example is used for better understanding. To find the optimal solution, the model is numerically solved by using matlab genetic algorithm. The sensitivity analysis is being performed to study the model behavior against different parameters. Keywords: Cold chain, echelon valuation, quality degradation, global stability index, stochastic lead time

Highlights

  • Prolonging the shelf life of fresh food is one of the major concern for perishable food items

  • In the beginning of this section the focus is on general food supply chain (FSC) leading to an orange supply chain and in the later part of this section, the theoretical background of thermal degradation, global stability index, chiller system cost analysis and the lead time has been explained

  • The two echelon cold chain model for oranges has been developed where the main actors are warehouse and retailer. This model is an exemplary picture of cold chain which encapsulates the cost effective attributes

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Summary

Introduction

Prolonging the shelf life of fresh food is one of the major concern for perishable food items. The two considerable differences between cold chain and a traditional supply chain system are; an additional cost due to the energy consumed in refrigeration process and the shelf life of perishable items. Since the life of wide range of products is temperature sensitive ; lot of studies have been carried out on the cold chain phenomenon and the need to develop improved cold chain technologies is ever increasing. In this context an optimal conditions are derived and maintained during the storage and transportation starting from the producer to the end user. Among the all nutritional components, Ascorbic acid (Vitamin C), Anthocyanin and Dimethoate are the most important components in orange which are controlled and maintained during the storage time

Literature review
Food supply chain
Orange supply chain
Thermal degradation
Global stability index
Chiller system cost analysis
Capital cost
Maintenance cost Based on the type of maintenance there are two main costs
Lead Time
Setup cost
Holding cost
Operational cost
Purchasing cost The purchasing cost is constant for a constant annual demand
Holding, shortage and energy cost As discussed earlier in
Quality degradation cost In
Case study of an orange supply chain
Quality degradation
Effect of storage temperature
Effect of nutritional index weightage
Effect of lead time
Findings
Conclusion
Full Text
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