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A Decisional Modeling for Network Franchise and Supply Chain Management

Author

Listed:
  • Pierre Féniès

    (CEROS - Centre d'Etudes et de Recherches sur les Organisations et la Stratégie - UPN - Université Paris Nanterre)

  • Frédéric Gautier

    (IAE Paris - Sorbonne Business School)

  • Samuel Lagrange

    (CleRMa - Clermont Recherche Management - ESC Clermont-Ferrand - École Supérieure de Commerce (ESC) - Clermont-Ferrand - UCA [2017-2020] - Université Clermont Auvergne [2017-2020])

Abstract

This article offers a modeling process that is aimed to evaluate and optimize logistics and financial flows in franchise networks. The proposed modeling consists in a combination of two modeling processes: the first reproduces the running logistic network through simulation and/or optimization; then data given by this model are used by a model that reproduces consequences on the mixed franchise network through a MILP (Mixed Integer Linear Programming) optimization based on the four Bradach management challenges: network growth, outlets uniformity, local responsiveness and system-wide adaptation. Applied to three networks types, the modeling process confirms that a combination of company-owned outlets and franchised outlets is the best way to manage the networks growth but also shows that the mix rate can be different between different type of networks.

Suggested Citation

  • Pierre Féniès & Frédéric Gautier & Samuel Lagrange, 2015. "A Decisional Modeling for Network Franchise and Supply Chain Management," Post-Print halshs-02023565, HAL.
  • Handle: RePEc:hal:journl:halshs-02023565
    DOI: 10.1080/16258312.2014.11517351
    as

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