Next Article in Journal
An Empirical Comparison of Machine-Learning Methods on Bank Client Credit Assessments
Next Article in Special Issue
Profit Distribution Model for Construction Supply Chain with Cap-and-Trade Policy
Previous Article in Journal
Too Risky to Focus on Agriculture? An Empirical Study of China’s Agricultural Households’ Off-Farm Employment Decisions
Previous Article in Special Issue
Maturity Models in Supply Chain Sustainability: A Systematic Literature Review
Open AccessArticle

Optimal Order Policies for Dual-Sourcing Supply Chains under Random Supply Disruption

College of Mathematics and Statistics, Northwest Normal University, Lanzhou 730070, China
*
Authors to whom correspondence should be addressed.
Sustainability 2019, 11(3), 698; https://doi.org/10.3390/su11030698
Received: 6 November 2018 / Revised: 22 January 2019 / Accepted: 24 January 2019 / Published: 29 January 2019
(This article belongs to the Special Issue How Better Decision-Making Helps to Improve Sustainability - Part II)
In this paper, we investigate inventory and order strategies of a two-echelon supply chain, which is composed of two unreliable suppliers that are subject to random disruption. We develop the gross weighted profit benchmark model and the service level constrained model of the supply chain, respectively. We derive the retailer’s optimal order quantity and analyze the retailer’ optimal order policy and also obtain the analytical closed-form solutions. In addition, some numerical examples are provided to illustrate the effect of disruption time, disruption probability and fill rate on the optimal decisions and expected profit. View Full-Text
Keywords: random supply disruption; dual-sourcing; supply chain management; service level random supply disruption; dual-sourcing; supply chain management; service level
Show Figures

Figure 1

MDPI and ACS Style

Yan, R.; Kou, D.; Lu, B. Optimal Order Policies for Dual-Sourcing Supply Chains under Random Supply Disruption. Sustainability 2019, 11, 698.

Show more citation formats Show less citations formats
Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Article Access Map by Country/Region

1
Back to TopTop