Methodology for Supply Chain Configuration

The supply chain design problem in the changing environment through the prism of business-ir ahgmnent is investigated by Medini and Bourey (2012). Their methodology uses SCOR as a reference for evaluation of the supply chain processes, and the five phase procedme for process optimization is elaborated. 

The methodology includes multiple steps common to many modeling methodologies, such as definition of performance measures, data gathering, execution of models, and analysis of results. There are also several issues relatively unique to supply chain environments and supply chain configuration. Many of these issues 

The supply chain power structure is one of the major unique factors. The concept of a broker is adopted here (Ross et al. 1998). The supply chain ctMifiguration problem is formulated substantially differently depending on relatitniships between the organizations involved, thereby influencing parameters included in the model and considered performance measures. 

Comprehensive evaluation of the configuration problem requires using several alternative models. It is well known that mathematical programming models are well suited to deal with the spatial aspects of a configuration problem while they struggle to deal with temporal aspects (Ballou 2001). Simulation is more appropriate to deal with the latter. The methodology should address the problem of efficient development of multiple models. 

To summarize this discussion, the main requirements for the methodology are outlined below  

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This section elaborates various steps in the methodology. For every step, its purpose, main tasks, methods, and outcomes are defined. The main properties of the methods are described below, while a detailed description of the supply chain configuration methods is given in Part 11 of this book. 

Fig. 5.3 shows a schematic representation of the architecture of the decision support system. This architecture complies with the integrated framework described in Chap. 4 and provides a complete set of tools for carrying out the supply chain configuration methodology. 

The supply chain configuration methodology has been applied to analyze configuration challenges at the ICT distribution company. The company s supply chain has evolved in a step-by-step manner and the network development decisions have been made on a case-by-case basis. Consequently, the supply chain configuration models developed in the case study help to establish a systematic basis for further supply... 

Truong TH, Azadivar F (2005) Optimal design methodologies for configuration of supply chains. International Journal of Production Research 43 2217-2236... 

Yadav SR, Muddada RRMR, Tiwari MK, Shankar R (2009) An algorithm portfolio based solution methodology to solve a supply chain optimization problem. Expert Syst Appl 36 8407-8420 Yang D, Jiao JR, Ji Y, Du G, Helo P, Valente A (2015) Joint optimization for coordinated configuration of product families and supply chains by a leader-follower Stackelberg game. Eur J Oper Res 246 263-280... 

Talluri S, Baker RC (2002) A multi-phase mathematical programming approach for effective supply chain design. Eur J Oper Res 141 544—558 Truong TH, Azadivar F (2005) Optimal design methodologies for configuration of supply chains. Int J Prod Res 43 2217-2236... 

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