Supply chain network design model to improve response to market Online publication date: Mon, 10-Jan-2022
by Kanchan Das
International Journal of Forensic Engineering and Management (IJFEM), Vol. 1, No. 2, 2021
Abstract: This research proposes a three-echelon supply chain network design approach to manage supply, distribution and selling of product with improved responsiveness to market requirements. It plans realisation of finished product through the local and overseas suppliers. The proposed bi-objective design model optimises market response time and overall supply chain (SC) cost. It achieves such objectives for market response time and overall SC cost by deciding number and location of distribution centres to distribute product within optimum time. It also decides number and location of sales outlets to ensure product availability within optimum distances and thus improve market response time in addition to SC cost. Sales network is designed by including a set of existing and potential retail outlets and similar locations and outlets for the company operated outlets. It plans mobile distribution between retail and supply chain operated outlets to improve market response further. A numerical example illustrates applicability of the model and provides managerial insights for deriving trade off decisions considering cost and market response.
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