An adaptive supply chain planning framework with stochastic forward modeling

Abstract

Holistic approaches in tackling supply chain-based problem have become emerging research focus in the field. In this paper, we present an adaptive supply chain planning framework for solving feedback supported dynamic supply chain problems. A centralized supply chain with four echelons is considered. Multiple problem types, including strategic, tactical and operational, are solved simultaneously. Internal and external planning factors are captured into a mixed integer non-linear programming model to facilitate the decision making of production scheduling, inventory handling, budgeting, facility and capacity planning. Stochastic demand and production behavior are also implemented in the model to reflect real world operations.