Title: An optimisation methodology for a supply chain operating under any pertinent conditions of uncertainty - an application with two forms of operational uncertainty, multi-objectivity and fuzziness

Authors: Barrie M. Cole; Steven Bradshaw; Herman Potgieter

Addresses: Department of Process Engineering, University of Stellenbosch, Stellenbosch, South Africa ' Department of Process Engineering, University of Stellenbosch, Stellenbosch, South Africa ' Department of Chemical Engineering and Metallurgy, University of Witwatersrand, Johannesburg, South Africa

Abstract: This paper addresses the optimisation of supply chains that are subject to any pertinent conditions of operational uncertainty (multi-objectivity, fuzziness, stochastic's) that may exist in an operational environment, the first part of the paper deals with the derivation of such methodology which is based on an analysis of prior multi-uncertainty level supply chain optimisation techniques followed by the formulation of a generic supply chain, under pertinent conditions of uncertainty and optimisation methodology. The second part of this paper deals with an application of this methodology in a real life supply chain environment that involves the production and distribution of multiple blends of NPK fertiliser in an uncertain market characterised by fuzziness (<, ≤, > or ≥) and multi-objectivity (multiple blends of NPK fertiliser). Optimum results showed an improvement of 9.3% over existing production and sales capacity.

Keywords: supply chain management; SCM; supply chain optimisation; operational uncertainty; linear programming; fertiliser supply chains; fuzziness.

DOI: 10.1504/IJOR.2015.069180

International Journal of Operational Research, 2015 Vol.23 No.2, pp.200 - 228

Available online: 29 Apr 2015 *

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