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A Pareto-based optimisation algorithm for a multi-objective integrated production-distribution planning problem of a multi-echelon supply chain network design

Author

Listed:
  • Keyvan Sarrafha
  • Abolfazl Kazemi
  • Alireza Alinezhad
  • Seyed Taghi Akhavan Niaki

Abstract

This paper addresses a multi-periodic supply chain network design (SCND) problem involving suppliers, manufacturers, distribution centres (DCs), and customer zones (CZs). Logistic decisions made in each time period have a tactical nature. Location/strategic decisions are made at the beginning of the time horizon and remain unchanged until the last period. While both backorders and lost sales are considered, the aim is to design the supply chain network (SCN) under three minimisation objectives including total costs, the transfer time of products to CZs, and backorder level and lost sale of products. A multi-objective mixed-integer linear programming (MILP) model is developed and a meta-heuristic algorithm named multi-objective vibration damping optimisation (MOVDO) with tuned parameters is proposed to find non-dominated solutions. The performance of this method is compared with two popular existing algorithms called NSGA-II and NRGA when they solve some randomly generated problems.

Suggested Citation

  • Keyvan Sarrafha & Abolfazl Kazemi & Alireza Alinezhad & Seyed Taghi Akhavan Niaki, 2021. "A Pareto-based optimisation algorithm for a multi-objective integrated production-distribution planning problem of a multi-echelon supply chain network design," International Journal of Services and Operations Management, Inderscience Enterprises Ltd, vol. 38(1), pages 40-72.
    • Handle: RePEc:ids:ijsoma:v:38:y:2021:i:1:p:40-72
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