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A tactical supply chain planning model with multiple flexibility options: an empirical evaluation

Author

Listed:
  • Masoud Esmaeilikia

    (RMIT University)

  • Behnam Fahimnia

    (University of Technology Sydney)

  • Joeseph Sarkis

    (Worcester Polytechnic Institute)

  • Kannan Govindan

    (University of Southern Denmark)

  • Arun Kumar

    (RMIT University)

  • John Mo

    (RMIT University)

Abstract

Supply chain flexibility is widely recognized as an approach to manage uncertainty. Uncertainty in the supply chain may arise from a number of sources such as demand and supply interruptions and lead time variability. A tactical supply chain planning model with multiple flexibility options incorporated in sourcing, manufacturing and logistics functions can be used for the analysis of flexibility adjustment in an existing supply chain. This paper develops such a tactical supply chain planning model incorporating a realistic range of flexibility options. A novel solution method is designed to solve the developed mixed integer nonlinear programming model. The utility of the proposed model and solution method is evaluated using data from an empirical case study. Analysis of the numerical results in different flexibility adjustment scenarios provides various managerial insights and practical implications.

Suggested Citation

  • Masoud Esmaeilikia & Behnam Fahimnia & Joeseph Sarkis & Kannan Govindan & Arun Kumar & John Mo, 2016. "A tactical supply chain planning model with multiple flexibility options: an empirical evaluation," Annals of Operations Research, Springer, vol. 244(2), pages 429-454, September.
    • Handle: RePEc:spr:annopr:v:244:y:2016:i:2:d:10.1007_s10479-013-1513-2
    DOI: 10.1007/s10479-013-1513-2
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