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Integrated supply chain: multi products location routing problem integrated with inventory under stochastic demand
Sajjadi, Seyed Reza
Sajjadi, Seyed Reza
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Dissertation
Adobe PDF, 1.85 MB
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2008-12
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Electronic dissertations
Electronic dissertations
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Abstract
When two logistical decisions of the supply chain namely location (a strategic
decision) and routing (a tactical decision) are combined, the location- routing problem (LRP) is formed. LRP deals with simultaneously locating one or more supply facility among a set (or sets) of potential facilities and assigning customers to the selected facility (or facilities). To further improve the operation of the supply chain process, it is presented in this dissertation to integrate inventory control, as another tactical decision, with the LRP. The presented model considers the multi-product network under the fixed- interval inventory policy where stochastic demands represent the customers' requirements. Moreover, the third party logistics allows excess space for selected warehouses if needed. A two phase heuristic simulated annealing is presented as solution methodology. Test problems are designed and solved by the developed algorithm to evaluate the presented solution approach. Results show that the integrated decision leads to saving on the network cost. Furthermore, two case studies are discussed to show how the presented model can be used in practice
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Wichita State University, College of Engineering, Dept. of Industrial and Manufacturing Engineering
Includes bibliographic references (leaves 128-135)
Includes bibliographic references (leaves 128-135)
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Wichita State University
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Copyright Seyed Reza Sajjadi, 2008. All rights reserved