Title: Sharing planned factory shutdown information in supply chain systems: an agent-based modelling approach
Authors: Ghada A. Deghedi; Yasser M. Ibrahim
Addresses: Social Science Computing Department, Faculty of Economics and Political Science, Cairo University, Orman Street, Giza, Egypt ' Social Science Computing Department, Faculty of Economics and Political Science, Cairo University, Orman Street, Giza, Egypt
Abstract: Reverse information sharing (RIS) has recently received attention as an essential complementary coordination mechanism to the typical downstream IS in supply chain (SC) systems. This paper comprehensively discusses the behaviour of a SC system under the condition of planned factory shutdown. The significance of sharing shutdown information for the whole SC and each of its actors is investigated under different inventory/backorder cost ratios (I/B-CRs) and various production capacities. A modified beer game that allows factory shutdown is represented as a four-stage serial SC. A deterministic market demand, with demand IS in place, is assumed. An agent-based model is developed for simulating different scenarios. The results demonstrate that RIS prevents the accumulation of backorder and reduces the overall SC cost by almost 50%. The results, nevertheless, show that the significance of RIS is relative to the I/B-CR and production capacity.
Keywords: supply chain management; SCM; beer game; reverse information sharing; RIS; agent-based modelling; ABM; factory shutdown information; production capacity; cost ratio; agent-based systems; multi-agent systems; MAS; simulation; backorders.
International Journal of Management and Decision Making, 2015 Vol.14 No.2, pp.154 - 179
Available online: 21 Jul 2015 *Full-text access for editors Access for subscribers Purchase this article Comment on this article