Optimization Method of Cross-regional Procurement Plan for Manufacturing Service Enterprises

The demand of economic globalization and the fierce market competition has urged the manufacturing enterprise to enhance their core competence through building a global supply chain. This paper examines the procurement problems that enterprises face during their cross-regional operations. Based on the traditional procurement cost, the paper takes the tax policies of different national governments as the main consideration factors. A mixed integer programming model with the total procurement cost as the optimization objective is constructed, and the stud genetic algorithm (studGA) is used to solve it. Experimental results demonstrate the algorithm has advantages in solving the presented model. Lastly, the proposed method is verified through a procurement operation that is applied to a set of mock samples to illustrate its applicability and universality.