Modeling and Solving a Multi-objective Supplier Selection and Quota Allocation Problem under Disruption

In the unstable world of today, disruption is one of the most challenging yet important issues in supply chain management, which can reduce the overall cost of supply chain management by addressing and controlling supply disruptions. In this paper, due to the possibility of supplier disruption, the costs of supply chain disruption are controlled. In fact, this research focuses on determining the optimal combination of suppliers and assigning the appropriate share of order to each one by consideration of supplier disruption. The proposed multi-objective mathematical model for this paper is a mixed-integer programming (MIP) model with objective functions which is designed to minimize the cost of purchasing, the percentage of delayed products and the percentage of returned products, as well as maximizing capabilities of orders tracking by customers. This model has been investigated using the Multi-Objective Simulated Annealing Meta-heuristic Algorithm. In this method, it is possible to examine all functionssimultaneously. This model is solved for numerical example

Keywords:

Disruption , Meta-heuristic algorithms , Quota allocation , Supply chain management , Supplier selection