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3206. Bi-Objective Supply Chain Network Design with Transport Mode Selection
Invited abstract in session MA-24: Sustainable Supply Chain Design, stream Sustainable Supply Chains.
Monday, 8:30-10:00Room: 83 (building: 116)
Authors (first author is the speaker)
| 1. | Eberhard Schmid
|
| Wirtschaftswissenschaften, HWR Berlin |
Abstract
In Supply Chain Network Design (SCND), the decision maker’s task is to decide upon locations for production or distribution facilities, product allocations to warehouses and factories, customer allocations and the choice of the transport modes. These decisions do not only have an impact on the economic performance of the supply chain but also on environmental indicators like the emission of CO2. To account for trade-offs, multi criteria SCND-modelling approaches are discussed increasingly.
In this paper, we will present a bi-objective SCND modelling approach which explicitly considers the selection of the mode of transport, as one possible leaver in the reduction of CO2. We model specific characteristics of transport modes, like the lead time and the shipment size and their influence on safety stock and cycle stocks. Through this, we are able to model trade-offs, which so far are not considered in the literature on multi criteria SCND-models. We describe a solution procedure, which includes the conversion into a mixed integer conic quadratic optimisation model, demonstrate the applicability within a case study and discuss computational and managerial insights. Further we give an outlook on the possible error supply chain decision makers can make, when ignoring those effects in the application of multi criteria SCND models.
Keywords
- Supply Chain Management
- Environmental Management
- Network Design
Status: accepted
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