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Coordinated Resource Allocation by Mutual Outsourcing in Decentralized Supply Chain

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Simulated Evolution and Learning (SEAL 2006)

Part of the book series: Lecture Notes in Computer Science ((LNTCS,volume 4247))

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Abstract

Lumpy demand forces capacity planners to maximize the profit of individual factories as well as simultaneously take advantage of outsourcing from its supply chain and even competitors. This study examines a capacity planning business model in which consists of many profit-centered factories (autonomous agents). We propose an ant algorithm to solve a set of non-linear mixed integer programming models with different economic objectives and constraints. The proposed method allows a mutually acceptable capacity plan for a set of customer tasks to be allocated by the negotiating parties, each with information on company objectives, cost and price. Experiment results reveal that near optimal solutions for both isolated (a single factory) and negotiation-based (between factories) environments are obtained.

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© 2006 Springer-Verlag Berlin Heidelberg

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Wang, KJ., Wee, H.M., Yu, J., Kung, K.Y. (2006). Coordinated Resource Allocation by Mutual Outsourcing in Decentralized Supply Chain. In: Wang, TD., et al. Simulated Evolution and Learning. SEAL 2006. Lecture Notes in Computer Science, vol 4247. Springer, Berlin, Heidelberg. https://doi.org/10.1007/11903697_96

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  • DOI: https://doi.org/10.1007/11903697_96

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-540-47331-2

  • Online ISBN: 978-3-540-47332-9

  • eBook Packages: Computer ScienceComputer Science (R0)

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