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Publisher : Elsevier - Science Direct (الزویر - ساینس دایرکت)
Journal : International Journal of Production Economics, Volume 85, Issue 2, 11 August 2003, Pages 263–269
Supply chain management (SCM) is not always concerned with optimal solutions conventionally in terms of product allocation. Virtual market based supply chain operation solves the product allocation problem by distributing the scheduled resources based on the agent interactions in the market. We formulate supply chain model as a discrete resource allocation problem under dynamic environment, and demonstrate the applicability of the virtual market concept to this framework. The proposed algorithm facilitates sophisticated SCM under dynamic conditions.
A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers. Supply chains exist in both service and manufacturing organisations, although the complexity of the chain may vary greatly from industry to industry and firm to firm. Realistic supply chains have multiple end products with shared components, facilities and capacities. The flow of materials is not always along an arborescent network, various modes of transportation may be considered, and the bill of materials for the end items may be both deep and large. Traditionally, marketing, distribution, planning, manufacturing, and the purchasing organisations along the supply chain operated independently. These organisations have their own objectives and these are often conflicting. Marketing's objective of high customer service and maximum sales conflict with manufacturing and distribution goals. Many manufacturing operations are designed to maximise throughput and lower costs with little consideration for the impact on inventory levels and distribution capabilities. Purchasing contracts are often negotiated with very little information beyond historical buying patterns. The result of these factors is that there is not a single, integrated plan for the organisation—there were as many plans as businesses. Clearly, there is a need for a mechanism through which these different functions can be integrated together. Supply chain management (SCM) is a strategy through which such an integration can be achieved (Fisher, 1994). SCM is typically viewed to lie between fully vertically integrated firms, where the entire material flow is owned by a single firm, and those where each channel member operates independently. Therefore coordination between the various players in the chain is key in its effective management. SCM, however, is conventionally based on simple theory of constraints (TOC) concept (Goldratt, 1983), and is not always concerned with optimal solutions on resource allocation in such a complicated supply flows. Market price systems constitute a well-understood class of mechanisms that provide effective decentralisation of decision making with minimal communication overhead. In a market-oriented programming approach to distributed problem solving, the resource allocation for a set of computational agents is derived by computing competitive equilibrium of an artificial economy (Kaihara, 2001). Market mechanism can provide several advantages on resource allocation in SCM as follows: (i) Markets are naturally distributed and agents make their own decisions about how to bid based on the prices and their own utilities of the goods. (ii) Communication is limited to the exchange of bids and process between agents and the market mechanism. In this paper, we formulate agent strategies in supply chain model, based on virtual market (VM) concept with multi-agent, and demonstrate the applicability of economic analysis to this framework by simulation experiments under dynamic environment.
نتیجه گیری انگلیسی
In this paper SCM was formulated as a discrete resource allocation problem with dynamic environment, and demonstrated the applicability of economic analysis to this framework by simulation experiments. It has been confirmed that careful constructions of the decision process according to economic principles can lead to efficient distributed resource allocation in SCM, and the behaviour of the system can be analysed in economic terms.