An efficient optimization framework for tracking multiple quality attributes in supply chains of perishable products

Fernando Lejarza and Michael Baldea

European Journal of Operational Research, 2022, vol. 297, issue 3, 890-903

Abstract: Improved supply chain optimization strategies can play a major role in addressing global food security and safety in years to come. In particular, tighter safety regulations, changing consumer quality requirements and more stringent market competition call upon integrated supply chain decision-making frameworks that explicitly consider product quality control. This effort requires metrics of quality that accurately reflect product physico-chemical properties, as well as consumer purchasing preferences. However, a critical challenge linked to embedding the complex dynamics of the evolution of product quality in time within supply chain models is the large-scale nature of the ensuing optimization problems, which are computationally intractable even for moderate-size, single-item systems. In the present work, we introduce a computationally efficient optimal production and distribution planning framework for perishable products having multiple quality attributes that evolve in time as a function of environmental conditions during shipment and storage. We also propose a model reduction strategy and a decomposition framework that enhance the scalability of our approach. We perform extensive numerical simulations using different network instances to validate our theoretical findings, as well as to demonstrate the advantages of the proposed supply chain management scheme.

Keywords: Supply chain management; Quality control; Mixed integer programming; Perishable products (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (10)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:297:y:2022:i:3:p:890-903

DOI: 10.1016/j.ejor.2021.04.057

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