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Supply Interruption Supply Chain Network Model with Uncertain Demand: An Application of Chance-Constrained Programming with Fuzzy Parameters

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Listed:
  • Haidong Guo
  • Shengyu Wang
  • Yu Zhang
  • Stefania Tomasiello

Abstract

The downstream supply interruption of manufacturers is a disaster for the company when the demand is uncertain in the market; a fuzzy programming with fuzzy parameters model of supply interruption supply chain network is established by simulating market operation rules. The aim of the current study is to build a fuzzy chance-constrained programming method which is developed for supporting the uncertainty of demand. This method ensured that the fuzzy constraints can be satisfied at specified confidence levels, leading to cost-effective solutions under acceptable risk magnitudes. Finally, through the case of the electronic product manufacturing enterprise, the feasibility and effectiveness of the proposed model are verified by adopting a sensitivity analysis of capacity loss level and minimizing objective function. Numerical simulation shows that selecting two manufacturing centers can effectively reduce the supply chain cost and maintain business continuity.

Suggested Citation

  • Haidong Guo & Shengyu Wang & Yu Zhang & Stefania Tomasiello, 2021. "Supply Interruption Supply Chain Network Model with Uncertain Demand: An Application of Chance-Constrained Programming with Fuzzy Parameters," Discrete Dynamics in Nature and Society, Hindawi, vol. 2021, pages 1-8, February.
    • Handle: RePEc:hin:jnddns:6686992
    DOI: 10.1155/2021/6686992
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    Cited by:

    1. Shuiwang Zhang & Qianlan Ding & Jingcheng Ding, 2023. "Return Strategy of E-Commerce Platform Based on Green and Sustainable Development," Sustainability, MDPI, vol. 15(14), pages 1-18, July.

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