Title: An integrated strategic-operational supply chain network design: a case of consumer goods supply chain

Authors: Aber Elsaleiby

Addresses: College of Business, The University of Illinois, Urbana-Champaign, IL, USA

Abstract: This study is motivated by a real-world supply chain that expects unprecedented high demand for some of its products. The fast-moving consumer goods supply chain under study is characterised by a large number of supply points (manufacturing plants) and a limited number of warehouses. It operates under the 'avoidance of missed demand' policy. The aim of this research is to develop a large-scale supply chain model that can enable supply chain managers in general and the manager of this supply chain in particular, to function under various circumstances. The model is formulated using mixed integer linear programming (MILP). The proposed model is verified and validated to assure accuracy and credibility. Model verification is done by the aid of data generated for supply chain networks with different sizes using MATLAB software. Validation of the model's assumptions, structure and objective is done through intensive discussion with supply chain experts from industry and academia. The paper discusses managerial and practical implications of the model.

Keywords: integrated supply chain network design; fast-moving consumer goods; FMCG; case study; mixed integer linear programming; MILP.

DOI: 10.1504/IJSCOR.2019.10020794

International Journal of Supply Chain and Operations Resilience, 2019 Vol.3 No.4, pp.275 - 291

Received: 23 Sep 2017
Accepted: 03 Feb 2018

Published online: 06 May 2019 *

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