Title: A bankruptcy approach to support decisions on allocation of scarce resources in emergency operations
Authors: Maher N. Itani; Sumadhur Shakya
Information Technology and Operations Management Department, Lebanese American University, Beirut, 1102 2801, Lebanon
Operations Management and Agribusiness, California State University Monterey Bay, 100 Campus Center, Seaside, CA 93955-8001, USA
Abstract: It is essential for humanitarian organisations to develop fair allocation guidelines of scarce lifesaving resources that alleviate the suffering of beneficiaries. At the same time, it is challenging to set a rationality behind the resources allocation and toward which beneficiaries to aid. This study examines resource allocation decisions using a bankruptcy based framework. It focuses on carrying out set rules in a fair manner so that a just outcome might be reached. Choosing which rule is most appropriate is challenging as this depends on how the decision makers understand the particular circumstances of each allocation situation. Still, these presented allocation rules provide the most flexible, efficient, and defensible solutions to equitable resource allocation. Furthermore, these schemes do not require detailed knowledge of beneficiaries' utilities for resources, which is generally not feasible to obtain during disaster circumstances.
Keywords: bankruptcy rules; axiomatic properties; humanitarian supply chain; resource allocation; humanitarian principles; equitable distribution; emergency operations; UNRWA; The United Nations Relief and Works Agency for Palestine Refugees in the Near East.
J. for Global Business Advancement, 2017 Vol.10, No.5, pp.506 - 526
Submission date: 17 Aug 2017
Date of acceptance: 22 Aug 2017
Available online: 21 Dec 2017