Order penetration point-based supply chain performance optimisation for SMEs (OPPO) Online publication date: Mon, 18-Jul-2022
by Ganda Boonsothonsatit; Poti Chaopaisarn
International Journal of Logistics Systems and Management (IJLSM), Vol. 42, No. 3, 2022
Abstract: This paper aims to develop order penetration point-based supply chain performance optimisation for SMEs (OPPO). OPPO supports identifying critical performance measures and their root-causes, figuring out their intricate interrelations, and optimising their conflicts in consideration of their relative preferences. It provides the best-fitted solution for Pareto-optimal results. The OPPO development covered nine performance measures which were causally linked for identifying a few of critical performance measures and their root-causes. Their conflicts in consideration of their relative preferences were optimised using weighted max-min fuzzy goal programming (WMM-FGP) for providing Pareto optimality. As a result, supply chain cost and customer lead time were identified as critical performance measures. Their Pareto optimality in consideration of their relative preferences suggests the best-fitted product lot-size and position of order penetration point (OPP).
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