Fostering supply chain resilience for omni-channel retailers: A two-phase approach for supplier selection and demand allocation under disruption risks

This study aims to optimize supplier selection and demand allocation decisions for omni-channel (OC) retailers to achieve supply chain resilience under the potential disruption risks. A two-phase approach with resilience factors that covers three main sourcing issues (i.e., supplier evaluation, supplier selection, and demand allocation) is proposed to support the decision-making. In the first phase, we construct a five-dimensional evaluation framework for OC retailers to identify supplier preferences and a hybrid model that combines the best–worst method to determine the weights of the evaluation criteria and evidential reasoning to evaluate potential suppliers. In the second phase, the preferences obtained from multiple suppliers are integrated into a multi-objective mixed-integer linear programming model aiming to minimize expected cost and maximize total purchasing value and geographical segregation based on three key resilience strategies of multiple sourcing, geographic diversification, and local sourcing. The efficiency of the aforementioned resilience strategies as well as the solvability of the proposed model are then validated numerically using a real-world case study and various MOEAs. The outcomes could be used as a decision-making tool to assist OC retailers in the performance assessment and optimal demand allocation among the alternative suppliers by considering costs, purchase value, and resilience simultaneously

Multi crteria decision making and its applications : a literature review

This paper presents current techniques used in Multi Criteria Decision Making (MCDM) and their applications. Two basic approaches for MCDM, namely Artificial Intelligence MCDM (AIMCDM) and Classical MCDM (CMCDM) are discussed and investigated. Recent articles from international journals related to MCDM are collected and analyzed to find which approach is more common than the other in MCDM. Also, which area these techniques are applied to. Those articles are appearing in journals for the year 2008 only. This paper provides evidence that currently, both AIMCDM and CMCDM are equally common in MCDM

A multiple criteria supplier segmentation using outranking and value function methods

[EN] Suppliers play a key role in supply chain management which involves evaluation for supplier selection problem, as well as other complex issues that companies should take into account. The purpose of this research is to develop and test an integrated system, which allows qualifying providers and also supplier segmentation by monitoring their performance based on a multiple criteria tool for systematic decision making. This proposal consists in a general procedure to assess suppliers based mainly on exploiting all reliable databases of the company. Firstly, for each group of products, their evaluation criteria are defined collaboratively in order to determine their critical and strategic performance, which are then integrated with other criteria that are specific of the suppliers and represent relevant aspects for the company, also classified by critical and strategic dimensions. Two multiple criteria methods, compensatory and non-compensatory, are used and compared so as to point out their strengths, weaknesses and flexibility for the supplier evaluation in different contexts, which are usually relevant in the supply chain management. A value function approach is the appropriate method to qualify providers to be included in the panel of approved suppliers of the company as this process depends only on own features of the supplier. On the other hand, outranking methods such as PROMETHEE have shown greater potential and robustness to develop portfolios with suppliers that should be partners of the company, as well as to identify other types of relationships, such as long term contracts, market policies or to highlight those to be removed from their portfolio. These results and conclusions are based on an empirical research in a multinational company for food, pharmaceuticals and chemicals. This system has shown a great impact as it represents the first supplier segmentation proposal applied to industry, in which decision making not only takes into account opinions and judgements, but also integrates historical data and expert knowledge. This approach provides a robust support system to inform operative, tactical and strategic decisions, which is very relevant when applying an advanced management in practice.This research has been partially developed with the support of the Ministry of Economy and Competitiveness (Ref. ECO2011-27369) and Ministry of Education (Marina Segura, scholarship of Training Plan of University Teaching).Segura, M.; Maroto, C. (2017). A multiple criteria supplier segmentation using outranking and value function methods. Expert Systems with Applications. 69:87-100. doi:10.1016/eswa.2016.10.031S871006

Using simulation gaming to validate a mathematical modeling platform for resource allocation in disasters

The extraordinary conditions of a disaster require the mobilisation of all available resources, inducing the rush of humanitarian partners into the affected area This phenomenon called the proliferation of actors, causes serious problems during the disaster response phase including the oversupply, duplicated efforts, lack of planning In an attempt to reduce the partner proliferation problem a framework called PREDIS (PREdictive model for DISaster response partner selection) is put forward to configure the humanitarian network within early hours after disaster strike when the information is scarce To verify this model a simulation game is designed using two sets of real decision makers (experts and non-experts) in the disaster Haiyan scenario The result shows that using the PREDIS framework 100% of the experts could make the same decisions less than six hours comparing to 72 hours Also between 71% and 86% of the times experts and non-experts decide similarly using the PREDIS framewor

Consistent and Sustainable Supplier Evaluation and Order Allocation: Evaluation Score based Model and Multiple Objective Linear Programming Model

This paper is to develop an integrated approach of supplier evaluation and order allocation to suppliers that suggests the buyer to place more orders to the supplier that has higher evaluation score (consistent order allocation) considering sustainability issues including economic, social, environmental, and disruption of supply chain issues. The proposed approach is handled by an Evaluation Score based Linear Programming (ESLP) Model. Performances of ESLP model is compared with those of Multiple Objective Linear Programming (MOLP) model that does not explicitly consider the evaluation scores of suppliers for order allocation. Experimental results show that ESLP model offers consistent order allocation while MOLP model offers inconsistent order allocation. Moreover, MOLP model has different priorities of suppliers for order allocation when the customer demands are changed. Inconsistent order allocation makes the purchasing process nontransparent, unexplainable, and susceptible for biased decisions. ESLP and MOLP models generate compromised solutions that are nondominated. They are better and worse for some performances. This paper emphasizes a need of further research that develops consistent order allocation methods

MCDA for sustainability assessment – insights to Helmholtz Association activities

The "MCDA for sustainability assessment – insights to Helmholtz Association activities" Working Paper aims to compile and reflect previous and on-going work within the Helmholtz Association related to MCDA, in particular, to present use cases and key methodological aspects. It has a focus on but is not limited to energy technologies and systems and is mainly based on the presentations held at the online workshop “Multi criteria decision analysis for sustainability assessment of energy technologies and systems”. The workshop was organized within the activities of the Helmholtz program ESD Topic 1 "Energy System Transformation" and took place on November 22nd, 2021

A fuzzy multi-criteria decision making approach for managing performance and risk in integrated procurement-production planning

Nowadays in Supply Chain (SC) networks, a high level of risk comes from SC partners. An effective risk management process becomes as a consequence mandatory, especially at the tactical planning level. The aim of this article is to present a risk-oriented integrated procurement–production approach for tactical planning in a multi-echelon SC network involving multiple suppliers, multiple parallel manufacturing plants, multiple subcontractors and several customers. An originality of the work is to combine an analytical model allowing to build feasible scenarios and a multi-criteria approach for assessing these scenarios. The literature has mainly addressed the problem through cost or profit-based optimisation and seldom considers more qualitative yet important criteria linked to risk, like trust in the supplier, flexibility or resilience. Unlike the traditional approaches, we present a method evaluating each possible supply scenario through performance-based and risk-based decision criteria, involving both qualitative and quantitative factors, in order to clearly separate the performance of a scenario and the risk taken if it is adopted. Since the decision-maker often cannot provide crisp values for some critical data, fuzzy sets theory is suggested in order to model vague information based on subjective expertise. Fuzzy Technique for Order of Preference by Similarity to Ideal Solution is used to determine both the performance and risk measures correlated to each possible tactical plan. The applicability and tractability of the proposed approach is shown on an illustrative example and a sensitivity analysis is performed to investigate the influence of criteria weights on the selection of the procurement–production plan

Public initiatives of settlement transformation. A theoretical-methodological approach to selecting tools of multi-criteria decision analysis

In Europe, the operating context in which initiatives of settlement transformation are currently initiated is characterized by a complex, elaborate combination of technical, regulatory and governance-related factors. A similar set of considerations makes it necessary to address the complex decision-making problems to be resolved through multidisciplinary, comparative approaches designed to rationalize the process and treat the elements to be considered in systematic fashion with respect to the range of alternatives available as solutions. Within a context defined in this manner, decision-making processes must often be used to obtain multidisciplinary and multidimensional analyses to support the choices made by the decision-makers. Such analyses are carried out using multi-criteria tools designed to arrive at syntheses of the numerous forms of input data needed to describe decision-making problems of similar complexity, so that one or more outcomes of the synthesis make possible informed, well thought-out, strategic decisions. The technical literature on the topic proposes numerous tools of multi-criteria analysis for application in different decision-making contexts. Still, no specific contributions have been drawn up to date on the approach to take in selecting the tool best suited to providing adequate responses to the queries of evaluation that arise most frequently in the various fields of application, and especially in the settlement sector. The objective of this paper is to propose, by formulating a taxonomy of the endogenous and exogenous variables of tools of multi-criteria analysis, a methodology capable of selecting the tool best suited to the queries of evaluation which arise regarding the chief categories of decision-making problems, and particularly in the settlement sector