Supply chain design of an electronic industry incorporating time compression

The overriding objective of this present work is to design and analyse the supply chain of a section of an electronic industry integrating suppliers, manufacturers, distributors and customers by incorporating the time compression approach. The models have been developed both at the strategic as well as operational levels to minimise the cost. The operational level models have been integrated with the strategic level model to achieve overall optimisation instead of individual echelon optimisation. Keeping in view the large number of variables, constraints and related industrial data, the model has been solved using the 'Industrial LINGO-8.0' software. The model solution gives the optimum values of various cost components and per product cost for the customers. The dominant costs have been targeted for reduction using the time compression approach in the production cycle. Finally it is observed that the implementation of the time compression approach reduces per-product costs considerably.