An integrated multi-stage supply chain problem with time varying demand, fixed interval orders and different production cycles over a finite planning horizon is considered in this paper. The objective is to find the retailer’s optimal order cycle and devise the manufacturer’s best production strategy to minimize the total operational cost of the supply chain system. The problem is formulated as a mixed integer nonlinear programming model. The model is solved in two steps: to obtain the optimal production strategy for an order cycle and to determine the optimal order cycle. The method of finding the shortest path in graph theory is used in the first step. Algorithms and programs for the two steps are proposed which are proved to be effective by experiments. The influence of each parameter on the optimal solution and the minimum cost is studied by the examples calculated to illustrate the model.
SUN Guanglei, LI Xiaoshen, SHANG Youlin
. Optimal production ordering policy for an integrated supply chain with time varying demand[J]. Operations Research Transactions, 2019
, 23(4)
: 143
-154
.
DOI: 10.15960/j.cnki.issn.1007-6093.2019.04.013
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