Ordering Decision-Making Model for a Dual Sourcing Supply Chain with Disruptions
Jingjing Zhu () and
Shaochuan Fu ()
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Jingjing Zhu: Beijing Jiaotong University
Shaochuan Fu: Beijing Jiaotong University
A chapter in LISS 2012, 2013, pp 395-400 from Springer
Abstract:
Abstract This article mainly captures the trade-off between ordering policies and disruption risks for an unreliable dual sourcing supply network. Stochastic newsvendor models are presented under both the unconstrained and fill rate constraint cases. The models can be applicable for different types of disruptions related among others to the supply of raw materials, the production process, and the distribution system, as well as security breaches and natural disasters. Through the model, we obtain some important managerial insights and evaluate the merit of contingency strategies in managing uncertain supply chains.
Keywords: Supply chain disruption; Dual sourcing; Ordering decision; Risk aversion; Stochastic model (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-642-32054-5_57
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DOI: 10.1007/978-3-642-32054-5_57
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