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A multiobjective chance constrained programming model for supplier selection under uncertainty

delete2011-09-01
delete76
PRE
AI
R
R. Ufuk Bilsel *
A
A. Ravindran
DOI:10.1016/j.trb.2011.02.007delete
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Abstract

Abstract

En 中文
Risk management is an inherent part of supplier selection. While companies are enjoying the benefits of outsourcing, risks brought by this practice should be taken into account in the process of decision making. This paper presents a multiobjective stochastic sequential supplier allocation model to help in supplier selection under uncertainty. Demand for products, capacities at suppliers as well as transportation and other variable costs are the main sources of uncertainty and are modeled using probability distributions. Disruptions are exogenous events and the model provides proactive mitigation strategies against disruptions by assigning backup suppliers who can be used in case of a default at a primary supplier. When there is no disruption, the model's solution is an optimal supplier order assignment, considering operational risks. (C) 2011 Elsevier Ltd. All rights reserved.
Keywords:
Stochastic programming
Outsourcing risks
Goal programming
Linearization

Journal

Transportation Research Part B-Methodological cover
Transportation Research Part B-Methodological
IF:
6.3
Papers:
3.5K
Citations:
1.9W

Organization

P
Pennsylvania State University
Scholars:
3.0W
Papers: 2.6W
Citations: 7.2W
P
pennsylvania commonwealth system of higher education (pcshe)
Scholars:
12.9W
Papers: 11.7W
Citations: 177