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A Robust Optimization Model for Multi-objective Operation of Supply Chain Under Uncertain Market

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2 Author(s)
Xu Jiawang ; Management department, Shenyang Institute of Aeronautical Engineering, Shenyang 110136, P. R. China. E-mail: ; Huang Xiaoyuan

A multi-objective operation model is proposed in this paper to deal with a multi-product, multi-period supply chain consisting of a supplier and a producer. In this supply chain, the amount of raw materials supply and their prices, ultimate products demand and their prices are uncertain. The uncertainties of prices are described by the uncertain intervals; the supplies and demands are described as a scenario set with certain probability. The model is constructed as a multi-objective programming problem to satisfy several conflict objectives, such as the operating coordination of supply chain, making the maximum profit of all participants as much as possible, and robustness of decision to uncertain markets. The result of a numerical example shows that the model we proposed is robust.

Published in:

2007 Chinese Control Conference

Date of Conference:

July 26 2007-June 31 2007