Title: A linear mathematical model for a transportation-inventory problem in a two-stage supply chain with different types of fuels for vehicles

Authors: Alireza Amini; Reza Ghodsi

Addresses: Department of Industrial Engineering, College of Engineering, University of Tehran, P.O. Box 11155-4563, Tehran, Iran ' Engineering Department, Central Connecticut State University, USA

Abstract: Transportation and inventory challenges are classic problems which have been taken into consideration by researchers in the past regularly. On the other hand, energy is a recent critical challenge which has been considered widely. This paper addresses an integrated transportation and inventory problem in a two-stage supply chain, including suppliers and retailers, while considering the role of energy in terms of fuel's type selection. An approach of ranking fuels based on relevant criteria is described here in order to help decision makers in quantifying these factors. Moreover, a mathematical model is developed to show all goals and constraints in such a framework and to find optimum solutions for the combined problem. The model is then tested through a number of generated numerical examples and respective results are presented.

Keywords: transport-inventory problems; backlog; supply chain management; SCM; mathematical modelling; fuel types; vehicle availability; vehicle capacity; inventory management.

DOI: 10.1504/IJSOM.2016.079518

International Journal of Services and Operations Management, 2016 Vol.25 No.3, pp.347 - 360

Received: 22 Dec 2014
Accepted: 12 Feb 2015
Published online: 30 Sep 2016 *

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