Role of Optimal Production Plan at the Focal Firm in Optimization of the Supply Chain

  • M.M. HARIS ASLAM University of Management and Technology, Lahore, Pakistan
  • KAMRAN RASHID University of Management and Technology, Lahore, Pakistan
  • TASHFEEN M. AZHAR University of Management and Technology, Lahore, Pakistan
Keywords: Supply Chain Management, Optimization, Aggregate Production Planning, Supply Chain Optimization, Network models

Abstract

Supply chain management and optimization is a critical aspect of modern enterprises and an expanding area of research. Modeling and optimization are the traditional tools of supply chain management. The techniques have been used by many companies for planning, manufacturing, and other decision areas in supply chains. Current study is motivated by the fact that optimization studies in supply chain management have mostly considered network optimization. Supply chain management however, requires alignment between the supply chain partners at the tactical level. As a first step towards achieving this goal, current study presents a model that incorporates the activity level planning at the focal firm in a supply chain. This paper presents a new mixed integer programming model that incorporates optimization of production planning at the focal firm while optimizing the strategic alignment of the supply chain entities. The model represents a four step, multi-echelon supply chain including supplier, warehouse, manufacturer, and retailer. The manufacturer in this network represents the focal firm. This model is an attempt to integrate the production planning decisions in the network optimization decisions.

Author Biographies

M.M. HARIS ASLAM, University of Management and Technology, Lahore, Pakistan

Department of Operations & Supply Chain,Assistant Professor

KAMRAN RASHID, University of Management and Technology, Lahore, Pakistan

Department of Operations & Supply Chain,Assistant Professor

TASHFEEN M. AZHAR, University of Management and Technology, Lahore, Pakistan

Department of Operations & Supply Chain,Professor

Published
2019-11-29
How to Cite
ASLAM, M., RASHID, K., & AZHAR, T. (2019). Role of Optimal Production Plan at the Focal Firm in Optimization of the Supply Chain. Journal of Management and Research, 1(2), 1-8. https://doi.org/10.29145/jmr/12/0102001