International Journal of Industrial Engineering & Production Research

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 Purpose-The purpose of this paper is to review a sample of the literature relating to Interpretive Structural Modelling (ISM) and its deployment for modelling purposes in the area of supply chain management (SCM).
Design/methodology/approach- The literature is examined from the three perspectives. First, concept of ISM and examines ISM as modelling technique. Second, use of ISM by the various researchers in their research for modelling. Third, use of ISM for modelling in the area of supply chain management. Findings- ISM is a systematic application of some elementary graph theory in such a way that theoretical, conceptual and computational advantage are exploited to explain the complex pattern of conceptual relations among the variables. From the literature review, we can conclude that many researchers have used ISM for modelling the variables of: reverse logistics, vendor managed inventory, IT enabled supply chain management etc.
Research limitation/implications-The scope of this literature review is by design limited to ISM and it does not cover in investigating other modelling techniques. Literature review investigates sample of important and influential work in the area of application of ISM in the research.
Originality/Value-This study reviews a sample of recent and classic literature in this field and in doing so this paper provides some comprehensive base and clear guidance to researchers in developing, defining and presenting their research agenda for applying ISM methodology in a systematic and convincing manner.
 Key words: Interpretive Structural Modelling, SCI, SMEs, SCM

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In this paper, the cost function for a three-echelon inventory system with two warehouses is derived. Transportation times are constant and retailers face independent Poisson demand. Replenishments are one-for-one. The lead time of a retailer is determined not only by the constant transportation time but also by the random delay incurred due to the availability of stock at the warehouses. We consider two warehouses in the second echelon which may leads to having more delays which were incurred in the warehouses and facing different behaviors of independent Poisson demands. Because the replenishment policy is base stock, the obtained function can also be used in different ordering policies to compute the inventory holding and shortage costs.

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In this paper, we propose an extended relocation model for warehouses configuration in a supply chain network, in which uncertainty is associated to operational costs, production capacity and demands whereas, existing researches in this area are often restricted to deterministic environments. In real cases, we usually deal with stochastic parameters and this point justifies why the relocation model under uncertainty should be evaluated. Albeit the random parameters can be replaced by their expectations for solving the problem, but sometimes, some methodologies such as two-stage stochastic programming works more capable. Thus, in this paper, for implementation of two stage stochastic approach, the sample average approximation (SAA) technique is integrated with the Bender's decomposition approach to improve the proposed model results. Moreover, this approach leads to approximate the fitted objective function of the problem comparison with the real stochastic problem especially for numerous scenarios. The proposed approach has been evaluated by two hypothetical numerical examples and the results show that the proposed approach can find better strategic solution in an uncertain environment comparing to the mean-value procedure (MVP) during the time horizon.

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Network location models comprise one of the main categories of location models. These models have various applications in regional and urban planning as well as in transportation, distribution, and energy management. In a network location problem, nodes represent demand points and candidate locations to locate the facilities. If the links network is unchangeably determined, the problem will be an FLP (Facility Location Problem). However, if links can be added to the network at a reasonable cost, the problem will then be a combination of facility location and NDP (Network Design Problem) hence, called FLNDP (Facility Location Network Design Problem), a more general variant of FLP. In previous studies of this problem, capacity of facilities was considered to be a constraint while capacity of links was not considered at all. The proposed MIP model considers capacity of facilities and links as decision variables. This approach increases the utilization of facilities and links, and prevents the construction of links and location of facilities with low utilization. Furthermore, facility location cost (link construction cost) in the proposed model is supposed to be a function of the associated facility (link) capacity. Computational experiments as well as sensitivity analyses performed indicate the efficiency of the model.

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Stochastic Approach to Vehicle Routing Problem: Development and Theories Abstract In this article, a chance constrained (CCP) formulation of the Vehicle Routing Problem (VRP) is proposed. The reality is that once we convert some special form of probabilistic constraint into their equivalent deterministic form then a nonlinear constraint generates. Knowing that reliable computer software for large scaled complex nonlinear programming problem with 0-1 type decision variables for stochastic vehicle routing problem (SVRP) is not easily available merely then the value of an approximation technique becomes imperative. In this article, theorems which build a foundation for moving toward the development of an approximate methodology for solving SVRP are stated and proved. Key Words: Vehicle Routing Problem, Chance Constrained Programming, Linear approximation, Optimization.

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We model a real-world case problem as a price competition model between two leader-follower supply chains that each of them consists of one manufacturer and one retailer. T he manufacturer produces partially differentiated products and sells to market through his retailer. The retailer sells the products of manufacturer to market by adding some values to the product and gains margin as a fraction of the all income of selling products. We use a two-stage Stackelberg game model to investigate the dynamics between these supply chains and obtain the optimal prices of products. We explore the effect of varying the level of substitutability coefficient of two products on the profits of the leader and follower supply chains and derive some managerial implications. We find that the follower supply chain has an advantage when the products are highly substitutable. Also, we study the sensitivity analysis of the fraction of requested margin by retailer on the profit of supply chains.

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Bus systems are unstable without considering any control. Thus, we are able to consider some control strategies to alleviate this problem. A holding control strategy is one commonly used real-time control strategy that can improve service quality. This paper develops a mathematical model for a holding control strategy. The objective of this model is to minimize the total cost related to passengers at any stop. To solve the model, particle swarm optimization (PSO) is proposed. The results of the numerical examples show that the additional total cost caused by service irregularity is reduced by 25% by applying the presented holding model to the given problem.

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periodic vehicle routing problem focuses on establishing a plan of visits to clients over a given time horizon so as to satisfy some service level while optimizing the routes used in each time period. This paper presents a new effective heuristic algorithm based on data mining tools for periodic vehicle routing problem (PVRP). The related results of proposed algorithm are compared with the results obtained by best Heuristics and meta-heuristics algorithms in the literature. Computational results indicate that the algorithm performs competitive in the accuracy and its small amount of solving time point of views.

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Having a comprehensive evaluation model with reliable data is useful to improve performance of supply chain. In this paper, according to the nature of supply chain, a model is presented that able to evaluate the performance of the supply chain by a network data envelopment analysis model and by using the financial, intellectual capital (knowledge base), collaboration and responsiveness factors of the supply chain. At the first step, indicators were determined and explained by explanatory Factor Analysis. Then, Network Data Envelopment Analysis (NDEA) model was used. This paper is the result of research related to supply chain of pharmaceutical companies in Tehran Stock Exchange and 115 experts and senior executives have been questioned as sample. The results showed that responsiveness latent variable had the highest correlation with supply chain performance and collaborative, financial and intellectual capital (knowledge base) latent variables were respectively after that. Four of the twenty eight supply chains which were studied obtained 1 as the highest performance rate and the lowest observed performance was 0.43.

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The manufacturing organizations today are having a competition of supply chain versus supply chain. Existing research work fails to relate human metrics with supply chain performance. The authors intend to empirically assess the effects of human metrics on supply chain performance in the context of Indian manufacturing organizations. A rigorous literature review has identified 12 variables. The variables are individually measured and later on reduced in number by factor analysis. As a pilot study, primary data is collected from 100 manufacturing organizations by means of a questionnaire, both offline and online, which is administered across India and a scale is developed. t-test and factor analysis resulted in 3 factors related to human metrics. The outcomes of the research work provide valuable implications for the Indian manufacturing organizations to understand the factors affecting supply chain performance.

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Customer service level is of prime importance in today competitive world and has various dimensions with delivery quality being one of the most important ones. Delivery quality has several parameters such as deliver time window options, time window size, etc. In this paper we focus on one of these parameters, namely time window setting. It has a direct impact upon customer satisfaction and business profit. On the other hand, delivery time windows affect routing and distribution costs. Generally, in the routing operation, time windows have been determined by customers or distributer and are considered as input parameters for the vehicle routing problem with time window (VRPTW) model. In this paper, a mathematical model is proposed for the integration of these two decisions in other words, in the present model, time window setting decisions are integrated with routing decisions. Then a column generation approach is employed to obtain the lower bounds of problems and to solve the problems, a quantum algorithm is proposed. Finally, the computational results of some instances are reported and the results of these approaches are compared. The results demonstrate the effectiveness of the quantum algorithm in solving this problem.

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Today, companies need to make use of appropriate patterns such as supply chain management system to gain and preserve a position in competitive world-wide market. Supply chain is a large scaled network consists of suppliers, manufacturers, warehouses, retailers and final customers which are in coordination with each other in order to transform products from raw materials into finished goods with optimal placement of inventory within the supply chain and minimizing operating costs in the face of demand fluctuations. Logistics is the management of the flow of goods between the point of origin and the point of consumption. One issue in Logistics management is the presence of possible long delays in goods transportation. In order to handle long delays, there are two possible solutions proposed in this paper. One solution is to use Model Predictive Controllers (MPCs) using orthonormal functions (Laguerre functions) and the other is to change supply chain model in which an integrator is imbedded. To this end, the two mentioned solutions will be implemented on a supply chain with long logistics delays and the results will be compared to classical MPC without using orthonormal basis and augmented model for different type of customer demand (constant, pulse and random demand).

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In this study, an optimization model is proposed to design a Global Supply Chain (GSC) for a medical device manufacturer under disruption in the presence of pre-existing competitors and price inelasticity of demand. Therefore, static competition between the distributors’ facilities to more efficiently gain a further share in market of Economic Cooperation Organization trade agreement (ECOTA) is considered. This competition condition is affected by disruption occurrence. The aim of the proposed model is to maximize the expected net after-tax profit of GSC under disruption and normal situation at the same time. To effectively deal with disruption, some practical strategies are adopted in the design of GSC network. The uncertainty of the business environment is modeled using the robust optimization technique based on the concept of uncertainty budget. To tackle the proposed Mixed-Integer Nonlinear Programming (MINLP) model, a hybrid Taguchi-based Memetic Algorithm (MA) with an adaptive population size is developed that incorporates a customized Adaptive Large Neighborhood Search (ALNS) as its local search heuristic. A fitness landscape analysis is used to improve the systematic procedure of neighborhood selection in the proposed ALNS. A numerical example and computational results illustrate the efficiency of the proposed model and algorithm in dealing with global disruptions under uncertainty and competition pressure.

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Abstract Nowadays supply chain management has become one of the powerful business concepts for organizations to gain a competitive advantage in global market. This is the reason that now competition between the firms has been replaced by competitiveness among the supply chains. Moreover, the popular literature dealing with supply chain is replete with discussions of leanness and agility. Agile manufacturing is adopted where demand is volatile while lean manufacturing is used in stable demands. However, in some situations it is advisable to utilize a different paradigm, called leagility, to enable a total supply chain strategy. Although, various generic hybrids have been defined to clarify means of satisfying the conflicting requirements of low cost and fast response, little research is available to provide approaches to enhance supply chain leagility. By linking Leagile Attributes and Leagile Enablers (LAs and LEs), this paper, based upon Quality Function Deployment (QFD), strives to identify viable LEs to achieve a defined set of LAs. Due to its wide applicability, AHP is deployed to prioritize LAs. Also, fuzzy logic is used to deal with linguistics judgments expressing relationships and correlations required in QFD. To illustrate the usefulness and ease of application of the approach, the approach was exemplified with the help of a case study in chemical industry.

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Today’s competition is promoted from firm against firm to supply chain versus supply chain, globalization and competition is a common phenomenon so each organization should make its supply chain as a weapon against the others, in doing so this paper presented a conceptual, graphical, step by step methodology to construct supply chain strategies by integrating strategic management’s theories, application and analysis and supply chain point of view to help managers to compete in the market.

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Using Greedy Clustering Method to Solve Capacitated Location-Routing Problem with Fuzzy Demands Abstract In this paper, the capacitated location routing problem with fuzzy demands (CLRP_FD) is considered. In CLRP_FD, facility location problem (FLP) and vehicle routing problem (VRP) are observed simultaneously. Indeed the vehicles and the depots have a predefined capacity to serve the customersthat have fuzzy demands. To model the CLRP_FD, a fuzzy chance constrained program is designed, based on fuzzy credibility theory. To solve the CLRP_FD, a greedy clustering method (GCM) including the stochastic simulation is proposed. Finally, to obtain the best value of the preference index of the model and analysis its influence on the final solutions of the problem, numerical experiments are carried out. Keywords: Capacitated location routing problem, Fuzzy demand, Credibility theory, Stochastic simulation, Ant colony system.

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In any supply chain, distribution planning of products is of great importance to managers. With effective and flexible distribution planning, mangers can increase the efficiency of time, place, and delivery utility of whole supply chain. In this paper, inventory routing problem (IRP) is applied to distribution planning of perishable products in a supply chain. The studied supply chain is composed of two levels a supplier and customers. Customers’ locations are geographically around the supplier location and their demands are uncertain and follow an independent probability distribution functions. The product has pre-determined fixed life and is to be distributed among customers via a fleet of homogenous vehicles. The supplier uses direct routes for delivering products to customers. The objective is to determine when to deliver to each customer, how much to deliver to them, and how to assign them to vehicle and routes. The mentioned problem is formulated and solved using a stochastic dynamic programming approach. Also, a numerical example is given to illustrate the applicability of proposed approach.

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Efficiency and effectiveness of the organization is result ofmanagement performance and supply chain structure.Today, several factors in selection the supplier or the best combination of suppliers have been identified that this issue would increase the complexity of suplier selecting.This study investigates the application of Fuzzy Delphi in order to identify the important factors in selecting a supplier in the steel industry and then provide a comprehensive and holistic model of supplier selection to overcome the complexity.In this context, Interpretive Structural Modeling (ISM) unlike other methods, the holistic, dealing with supplier selection to prioritize components-surfacing and identifying key components, so industry leaders will provide comperhensive map to select the best combination based on their.The results of this study indicate that "technically possible", "financial health" and "geography situation" are the basic components to the selection of suppliers.

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Scheduling has become an attractive area for artificial intelligence researchers. On other hand, in today's real-world manufacturing systems, the importance of an efficient maintenance schedule program cannot be ignored because it plays an important role in the success of manufacturing facilities. A maintenance program may be considered as the heath care of manufacturing machines and equipments. It is required to effectively reduce wastes and have an efficient, continuous manufacturing operation. The cost of preventive maintenance is very small when it is compared to the cost of a major breakdown. However, most of manufacturers suffer from lack of a total maintenance plan for their crucial manufacturing systems. Hence, in this paper, we study a maintenance operations planning optimization on a realistic variant of parallel batch machines manufacturing system which considers non-identical parallel processing machines with non-identical job sizes and fixed/flexible maintenance operations. To reach an appropriate maintenance schedule, we propose solution frameworks based on an Artificial Immune Algorithm (AIA), as an intelligent decision making technique. We then introduce a new method to calculate the affinity value by using an adjustment rate. Finally, the performance of proposed methods are investigated. Computational experiments, for a wide range of test problems, are carried out in order to evaluate the performance of methods.

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This paper addresses a production and outbound distribution scheduling problem in which a set of jobs have to be process on a single machine for delivery to customers or to other machines for further processing. We assume that there is a sufficient number of vehicles and the delivery costs is independent of batch size but it is dependent on each trip. In this paper, we present an Artificial Immune System (AIS) for this problem. The objective is to minimize the sum of the total weighted number of tardy jobs and the batch delivery costs. A batch setup time has to be added before processing the first job in each batch. Using computational test, we compare our method with an existing method for the mentioned problem in literature namely Simulated Annealing (SA). Computational tests show the significant improvement of AIS over the SA.