Title: Tactical and strategic redesign of supply chains affected by delocalisation

Authors: Rafael Guillermo García-Cáceres; Sergio Alvarez-Velasco; John Wilmer Escobar Velásquez

Addresses: School of Industrial Engineering, Universidad Pedagógica y Tecnológica de Colombia – UPTC, Sogamoso, Colombia ' Department of Industrial Engineering, Pontificia Universidad Javeriana, Bogota, Colombia ' Department of Accounting and Finance, Universidad del Valle, Cali, Colombia

Abstract: The present research work addresses the problem of modelling and redesigning a supply chain. With that general purpose, a model is developed to minimise logistics costs, including specific considerations about provisioning, inventories, products, location, selection of supply channels, assignments between distribution centres and demand zones, and transfers between distribution centres. The solution procedure is based on the design of a linear-programming-like MIP model for large optimisation scales. The model is validated with real data from a multinational beauty product company. Simulated data are used for larger instances. The performance of the solution procedure of the model enables optimal solutions to be obtained in practical instances of the problem at excellent CPU times.

Keywords: offshoring; supply chain redesign; MIP; strategic and tactical planning; delocalisation.

DOI: 10.1504/IJLSM.2023.130780

International Journal of Logistics Systems and Management, 2023 Vol.44 No.4, pp.553 - 575

Received: 02 Oct 2020
Accepted: 14 Feb 2021
Published online: 07 May 2023 *

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