The relevance of outsourcing and leagile strategies in performance optimization of an integrated process planning and scheduling

Over the past few years growing global competition has forced the manufacturing industries to upgrade their old production strategies with the modern day approaches. As a result, recent interest has been developed towards finding an appropriate policy that could enable them to compete with others, and facilitate them to emerge as a market winner. Keeping in mind the abovementioned facts, in this paper the authors have proposed an integrated process planning and scheduling model inheriting the salient features of outsourcing, and leagile principles to compete in the existing market scenario. The paper also proposes a model based on leagile principles, where the integrated planning management has been practiced. In the present work a scheduling problem has been considered and overall minimization of makespan has been aimed. The paper shows the relevance of both the strategies in performance enhancement of the industries, in terms of their reduced makespan. The authors have also proposed a new hybrid Enhanced Swift Converging Simulated Annealing (ESCSA) algorithm, to solve the complex real-time scheduling problems. The proposed algorithm inherits the prominent features of the Genetic Algorithm (GA), Simulated Annealing (SA), and the Fuzzy Logic Controller (FLC). The ESCSA algorithm reduces the makespan significantly in less computational time and number of iterations. The efficacy of the proposed algorithm has been shown by comparing the results with GA, SA, Tabu, and hybrid Tabu-SA optimization methods

Sustainable supply chain network design integrating logistics outsourcing decisions in the context of uncertainties

Les fournisseurs de services logistiques (3PLs) possèdent des potentialités pour activer les pratiques de développement durables entre les différents partenaires d’une chaîne logistique (Supply Chain SC). Il existe un niveau optimal d'intégration des 3PLs en tant que fournisseurs, pour s’attendre à des performances opérationnelles élevées au sein de toute la SC. Ce niveau se traduit par la distinction des activités logistiques à externaliser de celles à effectuer en interne. Une fois que les activités logistiques externalisés sont stratégiquement identifiées, et tactiquement dimensionnées, elles doivent être effectuées par des 3PLs appropriés afin d’endurer les performances économiques ; sociales ; et environnementales de la SC. La présente thèse développe une approche holistique pour concevoir une SC durable intégrant les 3PLs, dans un contexte incertain d’affaires et politique de carbone. Premièrement, une approche de modélisation stochastique en deux étapes est suggérée pour optimiser à la fois le niveau d'intégration des 3PLs, et le niveau d'investissement en technologies sobres au carbone, et ce dans le contexte d’une SC résiliente aux changements climatiques. Notre SC est structurée de façon à capturer trois principales préoccupations du Supply Chain Management d’une entreprise focale FC (e. g. le fabricant) : Sécurité d’approvisionnement, Segmentation de distribution, et Responsabilité élargie des producteurs. La première étape de l'approche de modélisation suggère un plan stochastique basé sur des scenarios plus probables, afin de capturer les incertitudes inhérentes à tout environnement d’affaires (e. g. la fluctuation de la demande des différents produits ; la qualité et la quantité de retour des produits déjà utilisés ; et l’évolution des différents coûts logistiques en fonction du temps). Puis, elle propose un modèle de programmation stochastique bi-objectif, multi-période, et multi-produit. Le modèle de programmation quadratique, et non linéaire consiste à minimiser simultanément le coût logistique total espéré, et les émissions de Gaz à effet de Serre de la SC fermée. L'exécution du modèle au moyen d'un algorithme basé sur la méthode Epsilon-contraint conduit à un ensemble de configurations Pareto optimales d’une SC dé- carbonisée, avant tout investissement en technologie sobre au carbone. Chacune de ces configurations sépare les activités logistiques à externaliser de celles à effectuer en interne. La deuxième étape de l'approche de modélisation permet aux décideurs de choisir la meilleure configuration de la SC parmi les configurations Pareto optimales identifiées. Le concept de Prix du Carbone Interne est utilisé pour établir un plan stochastique du prix de carbone, dans le cadre d'un régime de déclaration volontaire du carbone. Nous proposons un ensemble des technologies sobres au carbone, dans le domaine de transport des marchandises, disposées à concourir pour contrer les politiques incertaines de carbone. Un modèle stochastique combinatoire, et linéaire est développé pour minimiser le coût total espéré, sous contraintes de l’abattement du carbone; limitation du budget, et la priorité attribuée pour chaque Technologie Réductrice de carbone (Low Carbone Reduction LCR). L'injection de chaque solution Pareto dans le modèle, et la résolution du modèle conduisent à sélectionner la configuration de la SC, la plus résiliente aux changements climatiques. Cette configuration définit non seulement le plan d'investissement optimal en LCR, mais aussi le niveau optimal d’externalisation de la logistique dans la SC. Deuxièmement, une fois que les activités logistiques à externaliser sont stratégiquement définies et tactiquement dimensionnées, elles ont besoin d’être effectuées par des 3PL appropriées, afin de soutenir la FC à construire une SC durable et résiliente. Nous suggérons DEA-QFD / Fuzzy AHP- Conception robuste de Taguchi : Une approche intégrée & robuste, pour sélectionner les 3PL candidats les plus efficients. Les critères durables et les risques liés à l’environnement d’affaires, sont identifiés, classés et ordonnés. Le Déploiement de la Fonction Qualité (QFD) est renforcé par le Processus Hiérarchique Analytique (AHP), et par la logique floue pour déterminer avec consistance l'importance relative de chaque facteur de décision, et ce, conformément aux besoins logistiques réels, et stratégies d'affaires de la FC. L’Analyse d’Enveloppement des Données (DEA) Data Envelopment Analysis conduit à limiter la liste des candidats, uniquement à ceux d’efficiences comparables, et donc excluant tout candidat moins efficient. La technique de conception robuste Taguchi permet de réaliser un plan d'expérience qui détermine un candidat idéal nommé 'optimum de Taguchi' ; un Benchmark pour comparer les 3PLs candidats. Par suite, le 3PL le plus efficient est celui le plus proche de cet optimum. Nous conduisons actuellement une étude de cas d’une entreprise qui fabrique et commercialise les fours à micro-ondes pour valider la modélisation stochastique en deux étapes. Certains aspects concernant l’application de l’approche sont reportés. Enfin, un exemple de sélection d’un 3PL durable pour s’occuper de la logistique inverse est fourni, pour démontrer l'applicabilité de l'approche intégrée & robuste, et montrer sa puissance par rapport aux approches populaires de sélection.The Third-Party Logistics service providers (3PLs) have the potentialities to activate sustainable practices between different partners of a Supply Chain (SC). There exists an optimal level of integrating 3PLs as suppliers of a Focal Company within the SC, to expect for high operational performances. This level leads to distinguish all the logistics activities to outsource from those to perform in-house. Once the outsourced logistics activities are strategically identified, and tactically dimensioned, they need to be performed by appropriate 3PLs to sustain economic, social and environmental performances of the SC. The present thesis develops a holistic approach to design a sustainable supply chain integrating 3PLs, in the context of business and carbon policy uncertainties. First, a two-stage stochastic modelling approach is suggested to optimize both the level of 3PL integration, and of Low Carbon Reduction LCR investment within a climate change resilient SC. Our SC is structured to capture three main SC management issues of the Focal Company FC (e.g. The manufacturer) : Security of Supplies; Distribution Segmentation; and Extended Producer Responsibility. The first-stage of the modelling approach suggests a stochastic plan based scenarios capturing business uncertainties, and proposes a two-objective, multi-period, and multi-product programming model, for minimizing simultaneously, the expected logistics total cost, and the Green House Gas GHG emissions of the whole SC. The run of the model by means of a suggested Epsilon-constraint algorithm leads to a set of Pareto optimal decarbonized SC configurations, before any LCR investment. Each one of these configurations distinguishes the logistics activities to be outsourced, from those to be performed in-house. The second-stage of the modelling approach helps the decision makers to select the best Pareto optimal SC configuration. The concept of internal carbon price is used to establish a stochastic plan of carbon price in the context of a voluntary carbon disclosure regime, and we propose a set of LCR technologies in the freight transportation domain ready to compete for counteracting the uncertain carbon policies. A combinatory model is developed to minimize the total expected cost, under the constraints of; carbon abatement, budget limitation, and LCR investment priorities. The injection of each Pareto optimal solution in the model, and the resolution lead to select the most efficient climate resilient SC configuration, which defines not only the optimal plan of LCR investment, but the optimal level of logistics outsourcing within the SC as well. Secondly, once the outsourced logistics are strategically defined they need to be performed by appropriate 3PLs for supporting the FC to build a Sustainable SC. We suggest the DEA-QFD/Fuzzy AHP-Taguchi Robust Design: a robust integrated selection approach to select the most efficient 3PL candidates. Sustainable criteria, and risks related to business environment are identified, categorized, and ordered. Quality Function Deployment (QFD) is reinforced by Analytic Hierarchic Process (AHP), and Fuzzy logic, to consistently determine the relative importance of each decision factor according to the real logistics needs, and business strategies of the FC. Data Envelopment Analysis leads to shorten the list of candidates to only those of comparative efficiencies. The Taguchi Robust Design technique allows to perform a plan of experiment, for determining an ideal candidate named ‘optimum of Taguchi’. This benchmark is used to compare the remainder 3Pls candidates, and the most efficient 3PL is the closest one to this optimum.We are currently conducting a case study of a company that manufactures and markets microwave ovens for validating the two-stage stochastic approach, and certain aspects of its implementation are provided. Finally, an example of selecting a sustainable 3PL, to handle reverse logistics is given for demonstrating the applicability of the integrated & robust approach, and showing its power compared to popular selection approaches. Keywords:Third Party Logistics; Green Supply Chain design; Stochastic Multi-Objective Optimization; Carbon Pricing; Taguchi Robust Design

Supply Chain Management and Management Science: A Successful Marriage

The last century has witnessed extant studies on the applications of Management Science (MS) to a diverse set of Supply Chain Management (SCM) issues. This paper provides an overview of the contribution of MS within SCM. A framework is developed in this paper with a sampling of MS contributions to major SCM dimensions. Future research directions are presented

Stochastic multi-period multi-product multi-objective Aggregate Production Planning model in multi-echelon supply chain

In this paper a multi-period multi-product multi-objective aggregate production planning (APP) model is proposed for an uncertain multi-echelon supply chain considering financial risk, customer satisfaction, and human resource training. Three conflictive objective functions and several sets of real constraints are considered concurrently in the proposed APP model. Some parameters of the proposed model are assumed to be uncertain and handled through a two-stage stochastic programming (TSSP) approach. The proposed TSSP is solved using three multi-objective solution procedures, i.e., the goal attainment technique, the modified ε-constraint method, and STEM method. The whole procedure is applied in an automotive resin and oil supply chain as a real case study wherein the efficacy and applicability of the proposed approaches are illustrated in comparison with existing experimental production planning method

The Project Scheduling Problem with Non-Deterministic Activities Duration: A Literature Review

Purpose: The goal of this article is to provide an extensive literature review of the models and solution procedures proposed by many researchers interested on the Project Scheduling Problem with nondeterministic activities duration. Design/methodology/approach: This paper presents an exhaustive literature review, identifying the existing models where the activities duration were taken as uncertain or random parameters. In order to get published articles since 1996, was employed the Scopus database. The articles were selected on the basis of reviews of abstracts, methodologies, and conclusions. The results were classified according to following characteristics: year of publication, mathematical representation of the activities duration, solution techniques applied, and type of problem solved. Findings: Genetic Algorithms (GA) was pointed out as the main solution technique employed by researchers, and the Resource-Constrained Project Scheduling Problem (RCPSP) as the most studied type of problem. On the other hand, the application of new solution techniques, and the possibility of incorporating traditional methods into new PSP variants was presented as research trends. Originality/value: This literature review contents not only a descriptive analysis of the published articles but also a statistical information section in order to examine the state of the research activity carried out in relation to the Project Scheduling Problem with non-deterministic activities duration.Peer Reviewe

Sustainable and agile manufacturing outsourcing partner selection: a literature review

[EN] Outsourcing to third party to manage non-core activities helps the firm to focus on core activities. Manufacturing firms are outsourcing product development, manufacturing, logistics, customer care etc. to enhance production capacity and flexibility, and to reduce operational costs, which in turn can improve profitability and competitive advantage of the enterprise. Sustainability in operations and supply chain is gaining momentum due to increased global environmental concern, pressures from consumers and communities, and enforced regulations. Volatile and uncertain business environment necessitates the adoption of agility and flexibility to effectively manage manufacturing and supply chain. Globalisation has made the market very competitive and hence manufacturing firms are adopting manufacturing outsourcing to third parties. Selecting a sustainable and agile manufacturing outsourcing partner (MPS) is crucial as it will improve sustainability, efficiency, and effectiveness of the supply chain and competitive advantage to the firm. Detailed literature review on sustainable and agile manufacturing outsourcing partner selection has been carried out from EBSCO data base and Goggle scholar. Selection criteria used are classified into agile, operational, economic, environmental and social. The techniques use are mostly multi criteria decision making methods (MCDM) while few have adopted programming techniques. Discussion, implication and the scope of future work is also provided.Akhtar, M. (2022). Sustainable and agile manufacturing outsourcing partner selection: a literature review. International Journal of Production Management and Engineering. 10(2):143-158. https://doi.org/10.4995/ijpme.2022.1680714315810

Design of demand driven return supply chain for high-tech products

Purpose: The purpose of this study is to design a responsive network for after-sale services of high-tech products. Design/methodology/approach: Analytic Hierarchy Process (AHP) and weighted max-min approach are integrated to solve a fuzzy goal programming model. Findings: Uncertainty is an important characteristic of reverse logistics networks, and the level of uncertainty increases with the decrease of the products’ life-cycle. Research limitations/implications: Some of the objective functions of our model are simplified to deal with non-linearities. Practical implications: Designing after-sale services networks for high-tech products is an overwhelming task, especially when the external environment is characterized by high levels of uncertainty and dynamism. This study presents a comprehensive modeling approach to simplify this task. Originality/value: Consideration of multiple objectives is rare in reverse logistics network design literature. Although the number of multi-objective reverse logistics network design studies has been increasing in recent years, the last two objective of our model is unique to this research area.Peer Reviewe

Cell Production System Design: A Literature Review

Purpose In a cell production system, a number of machines that differ in function are housed in the same cell. The task of these cells is to complete operations on similar parts that are in the same group. Determining the family of machine parts and cells is one of the major design problems of production cells. Cell production system design methods include clustering, graph theory, artificial intelligence, meta-heuristic, simulation, mathematical programming. This article discusses the operation of methods and research in the field of cell production system design. Methodology: To examine these methods, from 187 articles published in this field by authoritative scientific sources, based on the year of publication and the number of restrictions considered and close to reality, which are searched using the keywords of these restrictions and among them articles Various aspects of production and design problems, such as considering machine costs and cell size and process routing, have been selected simultaneously. Findings: Finally, the distribution diagram of the use of these methods and the limitations considered by their researchers, shows the use and efficiency of each of these methods. By examining them, more efficient and efficient design fields of this type of production system can be identified. Originality/Value: In this article, the literature on cell production system from 1972 to 2021 has been reviewed