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Supply Quota Allocation and its optimization in supply chain by Fuzzy programming Model

Journal: International Journal of Engineering Sciences & Research Technology (IJESRT) (Vol.3, No. 9)

Publication Date:

Authors : ;

Page : 61-68

Keywords : supply chain management; fuzzy programming; LINDO; MATLAB.;

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Appropriate vendor selection and their optimum quota allocation has been an area of high importance in the effective management of a supply chain. The optimization of vendor-base is needed to identify better performing vendors in a supply chain. Secondly their quota allocations need to be optimized for the organization to remain competitive in the global scenario. The Supplier Quota Allocation (SQA) concept ‘Multi-Objective Linear Programming Vendor Selection Problem the mathematical formulation of which incorporates three important goals- cost- minimization, rejection-minimization (or quality-maximization) and minimization of late-delivery- with practical constraints imposed on: meeting the manufacturing organization’s annual aggregate demand, vendors’ capacity, vendors’ quota flexibility, vendors’ rating etc. In FP formulation of a supply chain modeling, various input parameters are treated as vague with a linear membership function of fuzzy type.

Last modified: 2014-10-09 22:34:11