Supplier selection-order allocation: A two-stage multiple criteria dynamic programming approach

This paper proposes a two-stage multiple criteria dynamic programming approach for two of the most critical tasks in supply chain management, namely, supplier selection and order allocation. In the first stage, to address multiple decision criteria in supplier ranking, the analytic hierarchy process...

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Veröffentlicht in:International journal of production economics Jg. 132; H. 1; S. 52 - 57
Hauptverfasser: Mafakheri, Fereshteh, Breton, Michele, Ghoniem, Ahmed
Format: Journal Article
Sprache:Englisch
Veröffentlicht: Amsterdam Elsevier B.V 01.07.2011
Elsevier
Elsevier Sequoia S.A
Schriftenreihe:International Journal of Production Economics
Schlagworte:
Allocations
Analytic hierarchy process
Auftragsabwicklung
Criteria
Demand
Dynamic programming
Dynamische Optimierung
Economics
Lieferantenbewertung
Lieferkette
Multikriterielle Entscheidungsanalyse
Multiple criteria decision making
Order allocation
Order processing
Studies
Supplier selection
Supplier selection Order allocation Multiple criteria decision-making Dynamic programming
Suppliers
Supply chain management
Supply chains
Utility functions
Supplier selection
Order allocation
Dynamic programming
Multiple criteria decision-making
ISSN:0925-5273, 1873-7579
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Beschreibung
Zusammenfassung:This paper proposes a two-stage multiple criteria dynamic programming approach for two of the most critical tasks in supply chain management, namely, supplier selection and order allocation. In the first stage, to address multiple decision criteria in supplier ranking, the analytic hierarchy process (AHP) is employed. In the second stage, supplier ranks are fed into an order allocation model that aims at maximizing a utility function for the firm as well as minimizing the total supply chain costs, subject to constraints on demand, capacity, and inventory levels. A dynamic programming approach is crafted to solve the proposed bi-objective model.
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ISSN:0925-5273
1873-7579
DOI:10.1016/j.ijpe.2011.03.005