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Article
Publication date: 31 May 2021

Misagh Rahbari, Seyed Hossein Razavi Hajiagha, Hannan Amoozad Mahdiraji, Farshid Riahi Dorcheh and Jose Arturo Garza-Reyes

This study focuses on a specific method of meat production that involves carcass purchase and meat production by packing facilities with a novel two-stage model that…

Abstract

Purpose

This study focuses on a specific method of meat production that involves carcass purchase and meat production by packing facilities with a novel two-stage model that simultaneously considers location-routing and inventory-production operating decisions. The considered problem aims to reduce variable and fixed transportation and production costs, inventory holding cost and the cost of opening cold storage facilities.

Design/methodology/approach

The proposed model encompasses a two-stage model consisting of a single-echelon and a three-echelon many-to-many network with deterministic demand. The proposed model is a mixed-integer linear programming (MILP) model which was tested with the general algebraic modelling system (GAMS) software for a real-world case study in Iran. A sensitivity analysis was performed to examine the effect of retailers' holding capacity and supply capacity at carcass suppliers.

Findings

In this research, the number of products transferred at each level, the number of products held, the quantity of red meat produced, the required cold storage facilities and the required vehicles were optimally specified. The outcomes indicated a two percent (2%) decrease in cost per kg of red meat. Eventually, the outcomes of the first and second sensitivity analysis indicated that reduced retailers' holding capacity and supply capacity at carcass suppliers leads to higher total costs.

Originality/value

This research proposes a novel multi-period location-inventory-routing problem for the red meat supply chain in an emerging economy with a heterogeneous vehicle fleet and logistics decisions. The proposed model is presented in two stages and four-echelon including carcass suppliers, packing facilities, cold storage facilities and retailers.

Article
Publication date: 11 February 2019

S.M.T. Fatemi Ghomi and B. Asgarian

Finding a rational approach to maintain a freshness of foods and perishable goods and saving their intrinsic attributes during a distribution of these products is one of the main…

Abstract

Purpose

Finding a rational approach to maintain a freshness of foods and perishable goods and saving their intrinsic attributes during a distribution of these products is one of the main issues for distribution and logistics companies. This paper aims to provide a framework for distribution of perishable goods which can be applied for real life situations.

Design/methodology/approach

This paper proposes a novel mathematical model for transportation inventory location routing problem. In addition, the paper addresses the impact of perishable goods age on the demand of final customers. The model is optimally solved for small- and medium-scale problems. Moreover, regarding to NP-hard nature of the proposed model, two simple and one hybrid metaheuristic algorithms are developed to cope with the complexity of problem in large scale problems.

Findings

Numerical examples with different scenarios and sensitivity analysis are conducted to investigate the performance of proposed algorithms and impacts of important parameters on optimal solutions. The results show the acceptable performance of proposed algorithms.

Originality/value

The authors formulate a novel mathematical model which can be applicable in perishable goods distribution systems In this regard, the authors consider lost sale which is proportional to age of products. A new hybrid approach is applied to tackle the problem and the results show the rational performance of the algorithm.

Details

Journal of Modelling in Management, vol. 14 no. 1
Type: Research Article
ISSN: 1746-5664

Keywords

Article
Publication date: 15 August 2018

Gia-Shie Liu and Kuo-Ping Lin

The purpose of this paper is to develop a decision support system to consider geographic information, logistics information and greenhouse gas (GHG) emission information to solve…

Abstract

Purpose

The purpose of this paper is to develop a decision support system to consider geographic information, logistics information and greenhouse gas (GHG) emission information to solve the proposed green inventory routing problem (GIRP) for a specific Taiwan publishing logistics firm.

Design/methodology/approach

A GIRP mathematical model is first constructed to help this specific publishing logistics firm to approximate to the optimal distribution system design. Next, two modified Heuristic-Tabu combination methods that combine savings approach, 2-opt and 1-1 λ-interchange heuristic approach with two modified Tabu search methods are developed to determine the optimum solution.

Findings

Several examples are given to illustrate the optimum total inventory routing cost, the optimum delivery routes, the economic order quantities, the optimum service levels, the reorder points, the optimum common review interval and the optimum maximum inventory levels of all convenience stores in these designed routes. Sensitivity analyses are conducted based on the parameters including truck loading capacity, inventory carrying cost percentages, unit shortage costs, unit ordering costs and unit transport costs to support optimal distribution system design regarding the total inventory routing cost and GHG emission level.

Originality/value

The most important finding is that GIRP model with reordering point inventory control policy should be applied for the first replenishment and delivery run and GIRP model with periodic review inventory control policy should be conducted for the remaining replenishment and delivery runs based on overall simulation results. The other very important finding concerning the global warming issue can help decision makers of GIRP distribution system to select the appropriate type of truck to deliver products to all retail stores located in the planned optimal delivery routes depending on GHG emission consumptions.

Article
Publication date: 26 July 2021

Ehsan Mohebban-Azad, Amir-Reza Abtahi and Reza Yousefi-Zenouz

This study aims to design a reliable multi-level, multi-product and multi-period location-inventory-routing three-echelon supply chain network, which considers disruption risks…

Abstract

Purpose

This study aims to design a reliable multi-level, multi-product and multi-period location-inventory-routing three-echelon supply chain network, which considers disruption risks and uncertainty in the inventory system.

Design/methodology/approach

A robust optimization approach is used to deal with the effects of uncertainty, and a mixed-integer nonlinear programming multi-objective model is proposed. The first objective function seeks to minimize inventory costs, such as ordering costs, holding costs and carrying costs. It also helps to choose one of the two modes of bearing the expenses of shortage or using the excess capacity to produce at the expense of each. The second objective function seeks to minimize the risk of disruption in distribution centers and suppliers, thereby increasing supply chain reliability. As the proposed model is an non-deterministic polynomial-time-hard model, the Lagrangian relaxation algorithm is used to solve it.

Findings

The proposed model is applied to a real supply chain in the aftermarket automotive service industry. The results of the model and the current status of the company under study are compared, and suggestions are made to improve the supply chain performance. Using the proposed model, companies are expected to manage the risk of supply chain disruptions and pay the lowest possible costs in the event of a shortage. They can also use reverse logistics to minimize environmental damage and use recycled goods.

Originality/value

In this paper, the problem definition is based on a real case; it is about the deficiencies in the after-sale services in the automobile industry. It considers the disruption risk at the first level of the supply chain, selects the supplier considering the parameters of price and disruption risk and examines surplus capacity over distributors’ nominal capacity.

Details

Journal of Modelling in Management, vol. 17 no. 2
Type: Research Article
ISSN: 1746-5664

Keywords

Article
Publication date: 7 April 2020

Misagh Rahbari, Seyed Hossein Razavi Hajiagha, Mahdi Raeei Dehaghi, Mahmoud Moallem and Farshid Riahi Dorcheh

In this paper, multi-period locationinventoryrouting problem (LIRP) considering different vehicles with various capacities has been investigated for the supply chain of red…

Abstract

Purpose

In this paper, multi-period locationinventoryrouting problem (LIRP) considering different vehicles with various capacities has been investigated for the supply chain of red meat. The purpose of this paper is to reduce variable and fixed costs of transportation and production, holding costs of red meat, costs of meeting livestock needs and refrigerator rents.

Design/methodology/approach

The considered supply chain network includes five echelons. Demand considered for each customer is approximated as deterministic using historical data. The modeling is performed on a real case. The presented model is a linear mixed-integer programming model. The considered model is solved using general algebraic modeling system (GAMS) software for data set of the real case.

Findings

A real-world case is solved using the proposed method. The obtained results have shown a reduction of 4.20 per cent in final price of red meat. Also, it was observed that if the time periods changed from month to week, the final cost of meat per kilogram would increase by 43.26 per cent.

Originality/value

This paper presents a five-echelon LIRP for the meat supply chain in which vehicles are considered heterogeneous. To evaluate the capability of the presented model, a real case is solved in Iran and its results are compared with the real conditions of a firm, and the rate of improvement is presented. Finally, the impact of the changed time period on the results of the solution is examined.

Article
Publication date: 17 January 2022

Leila Hashemi, Armin Mahmoodi, Milad Jasemi, Richard C. Millar and Jeremy Laliberté

In the present research, location and routing problems, as well as the supply chain, which includes manufacturers, distributor candidate sites and retailers, are explored. The…

Abstract

Purpose

In the present research, location and routing problems, as well as the supply chain, which includes manufacturers, distributor candidate sites and retailers, are explored. The goal of addressing the issue is to reduce delivery times and system costs for retailers so that routing and distributor location may be determined.

Design/methodology/approach

By adding certain unique criteria and limits, the issue becomes more realistic. Customers expect simultaneous deliveries and pickups, and retail service start times have soft and hard time windows. Transportation expenses, noncompliance with the soft time window, distributor construction, vehicle purchase or leasing, and manufacturing costs are all part of the system costs. The problem's conceptual model is developed and modeled first, and then General Algebraic Modeling System software (GAMS) and Multiple Objective Particle Swarm Optimization (MOPSO) and non-dominated sorting genetic algorithm II (NSGAII) algorithms are used to solve it in small dimensions.

Findings

According to the mathematical model's solution, the average error of the two suggested methods, in contrast to the exact answer, is less than 0.7%. In addition, the performance of algorithms in terms of deviation from the GAMS exact solution is pretty satisfactory, with a divergence of 0.4% for the biggest problem (N = 100). As a result, NSGAII is shown to be superior to MOSPSO.

Research limitations/implications

Since this paper deals with two bi-objective models, the priorities of decision-makers in selecting the best solution were not taken into account, and each of the objective functions was given an equal weight based on the weighting procedures. The model has not been compared or studied in both robust and deterministic modes. This is because, with the exception of the variable that indicates traffic mode uncertainty, all variables are deterministic, and the uncertainty character of demand in each level of the supply chain is ignored.

Practical implications

The suggested model's conclusions are useful for any group of decision-makers concerned with optimizing production patterns at any level. The employment of a diverse fleet of delivery vehicles, as well as the use of stochastic optimization techniques to define the time windows, demonstrates how successful distribution networks are in lowering operational costs.

Originality/value

According to a multi-objective model in a three-echelon supply chain, this research fills in the gaps in the link between routing and location choices in a realistic manner, taking into account the actual restrictions of a distribution network. The model may reduce the uncertainty in vehicle performance while choosing a refueling strategy or dealing with diverse traffic scenarios, bringing it closer to certainty. In addition, two modified MOPSO and NSGA-II algorithms are presented for solving the model, with the results compared to the exact GAMS approach for medium- and small-sized problems.

Details

International Journal of Intelligent Computing and Cybernetics, vol. 15 no. 4
Type: Research Article
ISSN: 1756-378X

Keywords

Open Access
Article
Publication date: 17 November 2021

Leila Hashemi, Armin Mahmoodi, Milad Jasemi, Richard C. Millar and Jeremy Laliberté

This study aims to investigate a locating-routing-allocating problems and the supply chain, including factories distributor candidate locations and retailers. The purpose of this…

1157

Abstract

Purpose

This study aims to investigate a locating-routing-allocating problems and the supply chain, including factories distributor candidate locations and retailers. The purpose of this paper is to minimize system costs and delivery time to retailers so that routing is done and the location of the distributors is located.

Design/methodology/approach

The problem gets closer to reality by adding some special conditions and constraints. Retail service start times have hard and soft time windows, and each customer has a demand for simultaneous delivery and pickups. System costs include the cost of transportation, non-compliance with the soft time window, construction of a distributor, purchase or rental of a vehicle and production costs. The conceptual model of the problem is first defined and modeled and then solved in small dimensions by general algebraic modeling system (GAMS) software and non-dominated sorting genetic algorithm II (NSGAII) and multiple objective particle swarm optimization (MOPSO) algorithms.

Findings

According to the solution of the mathematical model, the average error of the two proposed algorithms in comparison with the exact solution is less than 0.7%. Also, the algorithms’ performance in terms of deviation from the GAMS exact solution, is quite acceptable and for the largest problem (N = 100) is 0.4%. Accordingly, it is concluded that NSGAII is superior to MOSPSO.

Research limitations/implications

In this study, since the model is bi-objective, the priorities of decision makers in choosing the optimal solution have not been considered and each of the objective functions has been given equal importance according to the weighting methods. Also, the model has not been compared and analyzed in deterministic and robust modes. This is because all variables, except the one that represents the uncertainty of traffic modes, are deterministic and the random nature of the demand in each graph is not considered.

Practical implications

The results of the proposed model are valuable for any group of decision makers who care optimizing the production pattern at any level. The use of a heterogeneous fleet of delivery vehicles and application of stochastic optimization methods in defining the time windows, show how effective the distribution networks are in reducing operating costs.

Originality/value

This study fills the gaps in the relationship between location and routing decisions in a practical way, considering the real constraints of a distribution network, based on a multi-objective model in a three-echelon supply chain. The model is able to optimize the uncertainty in the performance of vehicles to select the refueling strategy or different traffic situations and bring it closer to the state of certainty. Moreover, two modified algorithms of NSGA-II and multiple objective particle swarm optimization (MOPSO) are provided to solve the model while the results are compared with the exact general algebraic modeling system (GAMS) method for the small- and medium-sized problems.

Details

Smart and Resilient Transportation, vol. 3 no. 3
Type: Research Article
ISSN: 2632-0487

Keywords

Article
Publication date: 22 December 2022

Fatemeh Fallah, Parham Azimi and Mani Sharifi

The pharmaceutical industry is one of the most essential areas of health in any country. It is defined as a system of processes, operations and organizations involved in…

Abstract

Purpose

The pharmaceutical industry is one of the most essential areas of health in any country. It is defined as a system of processes, operations and organizations involved in discovering, developing and producing drugs. The supply chain in the pharmaceutical field is one of the most important strategic issues in the pharmaceutical and health-care industries. The purpose of this study is to reduce the total cost of the supply chain network and reduce the amount of distribution scheduling.

Design/methodology/approach

In this study, the authors designed a drug supply chain network with uncertainty-related corruption. The optimal number and location of potential facilities, the optimal allocation of flow between facilities, the optimal routing of vehicles and the optimal amount of inventory in production and distribution center warehouses were determined to achieve these two objective functions.

Findings

In evaluating the small sample size problem, it was found that the comprehensive benchmarking method was more efficient than the other methods in obtaining the mean index of the first objective function. The utility function method has also proved its efficiency in obtaining the mean of the second objective function indices, the spacing index and the computational time. Because of the inefficiency of GAMS software in resolving size issues, the modified NSGA II and MOPSO algorithms with modified priority-based encryption have been used. First, using the Taguchi method, the initial parameters of the metaheuristic algorithms are adjusted, and then, 15 sample problems are designed in larger sizes. To avoid generating random data, five problems were equally designed, and the averages of objective functions and metrics of met heuristic algorithms (number of efficient solutions, maximum expansion index, spacing index and computational time) were analyzed as the basis of evaluation and comparison. Therefore, using all the indicators and results of the NSGA II algorithm is recommended.

Originality/value

In this research, a biobjective modeling approach is proposed to minimize the total costs of the supply chain network (construction costs, storage costs and product transportation costs between centers) and advertising costs and to minimize distribution and transportation scheduling across each level of the supply chain network.

Details

Journal of Modelling in Management, vol. 18 no. 6
Type: Research Article
ISSN: 1746-5664

Keywords

Article
Publication date: 3 June 2021

Parviz Fattahi and Mehdi Tanhatalab

This study aims to design a supply chain network in an uncertain environment while exists two options for distribution of the perishable product and production lot-sizing is…

Abstract

Purpose

This study aims to design a supply chain network in an uncertain environment while exists two options for distribution of the perishable product and production lot-sizing is concerned.

Design/methodology/approach

Owing to the complexity of the mathematical model, a solution approach based on a Lagrangian relaxation (LR) heuristic is developed which provides good-quality upper and lower bounds.

Findings

The model output is discussed through various examples. The introduction of some enhancements and using some heuristics results in better outputs in the solution procedure.

Practical implications

This paper covers the modeling of some real-world problems in which demand is uncertain and managers face making some concurrent decisions related to supply chain management, transportation and logistics and inventory control issues. Furthermore, considering the perishability of product in modeling makes the problem more practically significant as these days there are many supply chains handling dairy and other fresh products.

Originality/value

Considering uncertainty, production, transshipment and perishable product in the inventory-routing problem makes a new variant that has not yet been studied. The proposed novel solution is based on the LR approach that is enhanced by some heuristics and some valid inequalities that make it different from the current version of the LR used by other studies.

Article
Publication date: 5 June 2018

Shengbin Wang, Feng Liu, Lian Lian, Yuan Hong and Haozhe Chen

The purpose of this paper is to solve a post-disaster humanitarian logistics problem in which medical assistance teams are dispatched and the relief supplies are distributed among…

Abstract

Purpose

The purpose of this paper is to solve a post-disaster humanitarian logistics problem in which medical assistance teams are dispatched and the relief supplies are distributed among demand points.

Design/methodology/approach

A mixed integer-programming model and a two-stage hybrid metaheuristic method are developed to solve the problem. Problem instances of various sizes as well as a numerical example based on the 2016 Kyushu Earthquake in Japan are used to test the proposed model and algorithm.

Findings

Computational results based on comparisons with the state-of-the-art commercial software show that the proposed approach can quickly find near-optimal solutions, which is highly desirable in emergency situations.

Research limitations/implications

Real data of the parameters of the model are difficult to obtain. Future collaborations with organizations such as Red Cross and Federal Emergency Management Agency can be extremely helpful in collecting data in humanitarian logistics research.

Practical implications

The proposed model and algorithm can help governments and non-governmental organizations (NGOs) to effectively and efficiently allocate and coordinate different types of humanitarian relief resources, especially when these resources are limited.

Originality/value

This paper is among the first ones to consider both medical team scheduling (routing) and relief aid distribution as decision variables in the humanitarian logistics field. The contributions include developing a mathematical model and a heuristic algorithm, illustrating the model and algorithm using a numerical example, and providing a decision support tool for governments and NGOs to manage the relief resources in disasters.

Details

The International Journal of Logistics Management, vol. 29 no. 4
Type: Research Article
ISSN: 0957-4093

Keywords

1 – 10 of over 3000