Developing a Mathematical Programming Model to Provide an Accounts Payable Policy for Company Managers

In this study, in order to address the supply chain network design problem, a mathematical programming model was developed . The model considers operational and financial decisions at the same time for designing a four chelon supply chain network. The developed model provides an accounts payable policy for the company managers because it considers the amount of repayment to bank and new capital from shareholders as decision variables. The model also applied the economic value added index to measure the financial health and performance of the company's financial while making decisions at strategic and tactical levels. To show the model applicability, data of a case study in the literature was employed and solved in GAMS software. The results show an improvement in the economic value added index for the company compared to the base model.

Keywords:

Supply chain network design , Mathematical programming model , Financial decisions