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Managing sudden transportation disruptions in supply chains under delivery delay and quantity loss

Author

Listed:
  • Sanjoy Kumar Paul

    (University of Technology Sydney)

  • Sobhan Asian

    (RMIT University)

  • Mark Goh

    (National University of Singapore)

  • S. Ali Torabi

    (University of Tehran)

Abstract

Transportation disruption, a common source of business interruptions, can cause significant economic loss to a lean supply chain. This paper studies a lean, two-stage supplier-manufacturer coordinated system where a sudden disruption interrupts the transportation network, creating delivery delays and product quantity losses. We develop a model to generate a recovery plan after a sudden disruption occurrence, helping supply chain managers minimize the negative impacts of the disruption. Given the computational intensity and problem complexity, we then propose three heuristic solutions based on the delivery delay and fractional quantity loss caused by a sudden disruption. Finally, We conduct a number of numerical experiments to validate our proposed solution methods, and a scenario-based analysis to test the model and analyse the impact of sudden transportation disruption under three disruption scenarios. The performance of presented heuristics against the generalized reduced gradient method is also compared. The results reveal that the proposed heuristics can generate a recovery plan accurately and consistently.

Suggested Citation

  • Sanjoy Kumar Paul & Sobhan Asian & Mark Goh & S. Ali Torabi, 2019. "Managing sudden transportation disruptions in supply chains under delivery delay and quantity loss," Annals of Operations Research, Springer, vol. 273(1), pages 783-814, February.
    • Handle: RePEc:spr:annopr:v:273:y:2019:i:1:d:10.1007_s10479-017-2684-z
    DOI: 10.1007/s10479-017-2684-z
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    11. Sanjoy Kumar Paul & Priyabrata Chowdhury, 2020. "Strategies for Managing the Impacts of Disruptions During COVID-19: an Example of Toilet Paper," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 21(3), pages 283-293, September.
    12. Abhijit Barman & Rubi Das & Pijus Kanti De, 2022. "Logistics and supply chain management of food industry during COVID-19: disruptions and a recovery plan," Environment Systems and Decisions, Springer, vol. 42(3), pages 338-349, September.
    13. Jung-Fa Tsai & Chin-Po Wang & Ming-Hua Lin & Shih-Wei Huang, 2021. "Analysis of Key Factors for Supplier Selection in Taiwan’s Thin-Film Transistor Liquid-Crystal Displays Industry," Mathematics, MDPI, vol. 9(4), pages 1-18, February.
    14. Mahyar Habibi Rad & Mohammad Mojtahedi & Michael J. Ostwald, 2021. "The Integration of Lean and Resilience Paradigms: A Systematic Review Identifying Current and Future Research Directions," Sustainability, MDPI, vol. 13(16), pages 1-24, August.
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    16. Diéssica Oliveira-Dias & José Moyano-Fuentes & Juan Manuel Maqueira-Marín, 2022. "Understanding the relationships between information technology and lean and agile supply chain strategies: a systematic literature review," Annals of Operations Research, Springer, vol. 312(2), pages 973-1005, May.
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