MULTI-CRITERIA SUPPLY CHAIN NETWORK DESIGN FOR FRESH PRODUCE

Open Access
Author:
Zhang, Min
Graduate Program:
Industrial Engineering
Degree:
Master of Science
Document Type:
Master Thesis
Date of Defense:
July 17, 2016
Committee Members:
  • Vittaldas V Prabhu, Thesis Advisor
Keywords:
  • Multi-criteria
  • supply chain network design
  • fresh produce
Abstract:
Due to the numerous waste and disposal of food products and the high storage and transportation cost, the fresh produce market has a low profit margin. This thesis studied a three-stage supply chain distribution network design problem with multiple plants, multiple distribution centers, multiple customer zones and multiple products, aiming to reduce the annual supply chain cost and investment cost as well as to improve the freshness of products by investing in owned distribution centers and designing optimal distribution networks. To solve the supply chain distribution network design problem, firstly a Mixed-integer Linear Programming (MILP) model with three conflicting objectives is proposed. Then a Weighted Sum Method is considered as the approach to deal with the multi-criteria problem. That is generating different optimal solutions under different weight combinations assigned to the objective functions. The functionality and applicability of the model and method is illustrated by implementing them in a case study of fresh apple and strawberry with the plants, distribution centers and customer zones all over the United States. Finally, some efficient solutions and trade-offs among three criteria are provided to support decision making.