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dc.contributor.authorChen, Xianzhe
dc.contributor.authorZhang, Jun
dc.identifier.citationChen, Xianzhe; Zhang, Jun. Production control and supplier selection under demand disruptions. "Journal of Industrial Engineering and Management", Desembre 2010, vol. 3, núm. 3, p. 421-446.
dc.description.abstractThis paper investigates the effects of demand disruptions on production control and supplier selection in a three-echelon supply chain system. The customer demand is modeled as a jump-diffusion process in a continuous-time setting. A two-number production-inventory policy is implemented in the production control model for the manufacturer. The objective is to minimize the long-term average total cost consisting of backlog cost, holding cost, switching cost, and ordering cost. The simulated annealing method is applied to search the optimal critical switching values. Furthermore, an improved analytical hierarchy process (AHP) is proposed to select the best supplier, based on quantitative factors such as the optimal long-term total cost obtained through the simulated annealing method under demand disruptions and qualitative factors such as quality and service. Numerical studies are conducted to demonstrate the effects of demand disruptions in the face of various risk scenarios. Managerial insights from simulation results are provided as well. Our approaches can be implemented as the “stress test” for companies in front of various supply chain disruption scenarios.
dc.format.extent26 p.
dc.publisherSchool of Industrial and Aeronautic Engineering of Terrassa (ETSEIAT). Universitat Politècnica de Catalunya (UPC)
dc.rightsAttribution-NonCommercial 3.0 Spain
dc.subjectÀrees temàtiques de la UPC::Economia i organització d'empreses::Direcció d'operacions::Estratègia operativa
dc.subjectÀrees temàtiques de la UPC::Economia i organització d'empreses::Direcció d'operacions::Modelització de transports i logística
dc.subject.lcshBusiness logistics
dc.subject.lcshMaterials management
dc.subject.otherSupplier selection
dc.subject.otherDemand disruption
dc.subject.otherSelecció de proveïdors
dc.subject.otherSelección de proveedores
dc.subject.otherSimulated annealing
dc.subject.otherJump diffusion process
dc.subject.otherAnalytical hierarchy process (AHP)
dc.titleProduction control and supplier selection under demand disruptions
dc.subject.lemacLogística (Indústria) -- Planificació
dc.subject.lemacLogística (Indústria) -- Mètodes de simulació
dc.subject.lemacGestió de compres -- Models matemàtics
dc.description.peerreviewedPeer Reviewed
dc.rights.accessOpen Access
upcommons.citation.authorChen, Xianzhe; Zhang, Jun
upcommons.citation.publicationNameJournal of Industrial Engineering and Management

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