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Robust grain supply chain design considering post-harvest loss and harvest timing equilibrium

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  • An, Kun
  • Ouyang, Yanfeng

Abstract

This paper presents a bi-level robust optimization model, where a food company maximizes its profit and minimizes post-harvest loss by optimally deploying grain processing/storage facilities and determining grain purchase price, while a group of spatially distributed non-cooperative farmers determine harvest time, shipment, storage, and market decisions under yield uncertainty and market equilibrium. The non-cooperative behavior of the food company and the farmers is represented by a bi-level Stackelberg leader follower’s game model with mixed-integer decision variables. The proposed model and solution approach are applied to case studies for Illinois and Brazil.

Suggested Citation

  • An, Kun & Ouyang, Yanfeng, 2016. "Robust grain supply chain design considering post-harvest loss and harvest timing equilibrium," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 88(C), pages 110-128.
  • Handle: RePEc:eee:transe:v:88:y:2016:i:c:p:110-128
    DOI: 10.1016/j.tre.2016.01.009
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