Maximisation of total supply chain profit and minimisation of bullwhip effect in a multi-echelon supply chain network using particle swarm optimisation and genetic algorithm
by Nafisa Mahbub; Ahsan Akhtar Hasin; Ridwan Al Aziz; Afia Sharin
International Journal of Integrated Supply Management (IJISM), Vol. 11, No. 2/3, 2017

Abstract: The presence of numerous sources, nature of uncertainties and complex interrelationships among various entities make supply chain a complex network. Bullwhip effect is one of the major issues of complexity. This research intended to maximise profit as well as to reduce bullwhip effect in a supply chain by finding optimal forecasted sales quantities for each entity. A multi-product, multi-stage and multi-period supply chain model was developed considering previous market demands where the objective function was developed to maximise total supply chain profit. Later, the proposed model was applied to analyse a realistic case of supply chain network. Simulations were conducted using genetic algorithm and particle swarm optimisation to find optimal forecasted sales quantities and were then compared. Results revealed that total profit of the entire supply chain network significantly increased and the resulting optimal forecasted sales quantities reduced order variability, which consequently minimised the bullwhip effect in supply chain network.

Online publication date: Sun, 03-Sep-2017

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Integrated Supply Management (IJISM):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com