Search results for: Markov chain model
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 17876

Search results for: Markov chain model

17666 Agile Supply Chains and Its Dependency on Air Transport Mode: A Case Study in Amazon

Authors: Fabiana Lucena Oliveira, Aristides da Rocha Oliveira Junior

Abstract:

This article discusses the dependence on air transport mode of agile supply chains. The agile supply chains are the result of the analysis of the uncertainty supply chain model, which ranks the supply chain, according to the respective product. Thus, understanding the Uncertainty Model and life cycle of products considered standard and innovative is critical to understanding these. The innovative character in the intersection of supply chains arising from the uncertainty model with its most appropriate transport mode. Consider here the variables availability, security and freight as determinants for choosing these modes. Therefore, the research problem is: How agile supply chains maintains logistics competitiveness, as these are dependent on air transport mode? A case study in Manaus Industrial Pole (MIP), an agglomeration model that includes six hundred industries from different backgrounds and billings, located in the Brazilian Amazon. The sample of companies surveyed include those companies whose products are classified in agile supply chains , as innovative and therefore live with the variable uncertainty in the demand for inputs or the supply of finished products. The results confirm the hypothesis that the dependency level of air transport mode is greater than fifty percent. It follows then, that maintain agile supply chain away from suppliers base is expensive (1) , and continuity analysis needs to be remade on each twenty four months (2) , consider that additional freight, handling and storage as members of the logistics costs (3) , and the comparison with the upcoming agile supply chains the world need to consider the location effect (4).

Keywords: uncertainty model, air transport mode, competitiveness, logistics

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17665 Multiscale Modelling of Citrus Black Spot Transmission Dynamics along the Pre-Harvest Supply Chain

Authors: Muleya Nqobile, Winston Garira

Abstract:

We presented a compartmental deterministic multi-scale model which encompass internal plant defensive mechanism and pathogen interaction, then we consider nesting the model into the epidemiological model. The objective was to improve our understanding of the transmission dynamics of within host and between host of Guignardia citricapa Kiely. The inflow of infected class was scaled down to individual level while the outflow was scaled up to average population level. Conceptual model and mathematical model were constructed to display a theoretical framework which can be used for predicting or identify disease pattern.

Keywords: epidemiological model, mathematical modelling, multi-scale modelling, immunological model

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17664 Performance Modeling and Availability Analysis of Yarn Dyeing System of a Textile Industry

Authors: P. C. Tewari, Rajiv Kumar, Dinesh Khanduja

Abstract:

This paper discusses the performance modeling and availability analysis of Yarn Dyeing System of a Textile Industry. The Textile Industry is a complex and repairable engineering system. Yarn Dyeing System of Textile Industry consists of five subsystems arranged in series configuration. For performance modeling and analysis of availability, a performance evaluating model has been developed with the help of mathematical formulation based on Markov-Birth-Death Process. The differential equations have been developed on the basis of Probabilistic Approach using a Transition Diagram. These equations have further been solved using normalizing condition in order to develop the steady state availability, a performance measure of the system concerned. The system performance has been further analyzed with the help of decision matrices. These matrices provide various availability levels for different combinations of failure and repair rates for various subsystems. The findings of this paper are, therefore, considered to be useful for the analysis of availability and determination of the best possible maintenance strategies which can be implemented in future to enhance the system performance.

Keywords: performance modeling, markov process, steady state availability, availability analysis

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17663 Modeling Sustainable Truck Rental Operations Using Closed-Loop Supply Chain Network

Authors: Khaled S. Abdallah, Abdel-Aziz M. Mohamed

Abstract:

Moving industries consume numerous resources and dispose masses of used packaging materials. Proper sorting, recycling and disposing the packaging materials is necessary to avoid a sever pollution disaster. This research paper presents a conceptual model to propose sustainable truck rental operations instead of the regular one. An optimization model was developed to select the locations of truck rental centers, collection sites, maintenance and repair sites, and identify the rental fees to be charged for all routes that maximize the total closed supply chain profits. Fixed costs of vehicle purchasing, costs of constructing collection centers and repair centers, as well as the fixed costs paid to use disposal and recycling centers are considered. Operating costs include the truck maintenance, repair costs as well as the cost of recycling and disposing the packing materials, and the costs of relocating the truck are presented in the model. A mixed integer model is developed followed by a simulation model to examine the factors affecting the operation of the model.

Keywords: modeling, truck rental, supply chains management.

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17662 Effective Supply Chain Coordination with Hybrid Demand Forecasting Techniques

Authors: Gurmail Singh

Abstract:

Effective supply chain is the main priority of every organization which is the outcome of strategic corporate investments with deliberate management action. Value-driven supply chain is defined through development, procurement and by configuring the appropriate resources, metrics and processes. However, responsiveness of the supply chain can be improved by proper coordination. So the Bullwhip effect (BWE) and Net stock amplification (NSAmp) values were anticipated and used for the control of inventory in organizations by both discrete wavelet transform-Artificial neural network (DWT-ANN) and Adaptive Network-based fuzzy inference system (ANFIS). This work presents a comparative methodology of forecasting for the customers demand which is non linear in nature for a multilevel supply chain structure using hybrid techniques such as Artificial intelligence techniques including Artificial neural networks (ANN) and Adaptive Network-based fuzzy inference system (ANFIS) and Discrete wavelet theory (DWT). The productiveness of these forecasting models are shown by computing the data from real world problems for Bullwhip effect and Net stock amplification. The results showed that these parameters were comparatively less in case of discrete wavelet transform-Artificial neural network (DWT-ANN) model and using Adaptive network-based fuzzy inference system (ANFIS).

Keywords: bullwhip effect, hybrid techniques, net stock amplification, supply chain flexibility

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17661 Supply Chain Optimization for Silica Sand in a Glass Manufacturing Company

Authors: Ramon Erasmo Verdin Rodriguez

Abstract:

Many has been the ways that historically the managers and gurus has been trying to get closer to the perfect supply chain, but since this topic is so vast and very complex the bigger the companies are, the duty has not been certainly easy. On this research, you are going to see thru the entrails of the logistics that happens at a glass manufacturing company with the number one raw material of the process that is the silica sand. After a very quick passage thru the supply chain, this document is going to focus on the way that raw materials flow thru the system, so after that, an analysis and research can take place to improve the logistics. Thru Operations Research techniques, it will be analyzed the current scheme of distribution and inventories of raw materials at a glass company’s plants, so after a mathematical conceptualization process, the supply chain could be optimized with the purpose of reducing the uncertainty of supply and obtaining an economic benefit at the very end of this research.

Keywords: inventory management, operations research, optimization, supply chain

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17660 The Impact of Supply Chain Relationship Quality on Cooperative Strategy and Visibility

Authors: Jung-Hsuan Hsu

Abstract:

Due to intense competition within the industry, companies have increasingly recognized partnerships with other companies. In addition, with outsourcing and globalization of the supply chain, it leads to companies' increasing reliance on external resources. Consequently, supply chain network becomes complex, so that it reduces the visibility of the manufacturing process. Therefore, this study is going to focus on the impact of supply chain relationship quality (SCRQ) on cooperative strategy and visibility. Questionnaire survey is going to be conducted as research method, using the organic food industry as the research subject, and the sampling method is random sampling. Finally, the data analysis will use SPSS statistical software and AMOS software to analyze and verify the hypothesis. The expected results in this study is to evaluate the supply chain relationship quality between Taiwan's food manufacturing and their suppliers regarding whether it has a positive impact for the persistence, frequency and diversity of cooperative strategy, as well as the dimensions of supply chain relationship quality on visibility regarding whether it has a positive effect.

Keywords: supply chain relationship quality (SCRQ), cooperative strategy, visibility, competition

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17659 Optimal Maintenance Policy for a Partially Observable Two-Unit System

Authors: Leila Jafari, Viliam Makis, G. B. Akram Khaleghei

Abstract:

In this paper, we present a maintenance model of a two-unit series system with economic dependence. Unit#1, which is considered to be more expensive and more important, is subject to condition monitoring (CM) at equidistant, discrete time epochs and unit#2, which is not subject to CM, has a general lifetime distribution. The multivariate observation vectors obtained through condition monitoring carry partial information about the hidden state of unit#1, which can be in a healthy or a warning state while operating. Only the failure state is assumed to be observable for both units. The objective is to find an optimal opportunistic maintenance policy minimizing the long-run expected average cost per unit time. The problem is formulated and solved in the partially observable semi-Markov decision process framework. An effective computational algorithm for finding the optimal policy and the minimum average cost is developed and illustrated by a numerical example.

Keywords: condition-based maintenance, semi-Markov decision process, multivariate Bayesian control chart, partially observable system, two-unit system

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17658 Aligning Cultural Practices through Information Exchange: A Taxonomy in Global Manufacturing Industry

Authors: Hung Nguyen

Abstract:

With the rise of global supply chain network, the choice of supply chain orientation is critical. The alignment between cultural similarity and supply chain information exchange could help identify appropriate supply chain orientations, which would differentiate the stronger competitors and performers from the weaker ones. Through developing a taxonomy, this study examined whether the choices of action programs and manufacturing performance differ depending on the levels of attainment cultural similarity and information exchange. This study employed statistical tests on a large-scale dataset consisting of 680 manufacturing plants from various cultures and industries. Firms need to align cultural practices with the level of information exchange in order to achieve good overall business performance. There appeared to be consistent three major orientations: the Proactive, the Initiative and the Reactive. Firms are experiencing higher payoffs from various improvements are the ones successful alignment in both information exchange and cultural similarity The findings provide step-by-step decision making for supply chain information exchange and offer guidance especially for global supply chain managers. In including both cultural similarity and information exchange, this paper adds greater comprehensiveness and richness to the supply chain literature.

Keywords: culture, information exchange, supply chain orientation, similarity

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17657 Advance Hybrid Manufacturing Supply Chain System to Get Benefits of Push and Pull Systems

Authors: Akhtar Nawaz, Sahar Noor, Iftikhar Hussain

Abstract:

This paper considers advanced hybrid manufacturing planning both push and pull system in which each customer order has a due date by demand forecast and customer orders. We present a tool for model for tool development that requires an absolute due dates and customer orders in a manufacturing supply chain. It is vital for the manufacturing companies to face the problem of variations in demands, increase in varieties by maintaining safety stock and to minimize components obsolescence and uselessness. High inventory cost and low delivery lead time is expected in push type of system and on contrary high delivery lead time and low inventory cost is predicted in the pull type. For this tool for model we need an MRP system for the push and pull environment and control of inventories in push parts and lead time in the pull part. To retain process data quickly, completely and to improve responsiveness and minimize inventory cost, a tool is required to deal with the high product variance and short cycle parts. In practice, planning and scheduling are interrelated and should be solved simultaneously with supply chain to ensure that the due dates of customer orders are met. The proposed tool for model considers alternative process plans for job types, with precedence constraints for job operations. Such a tool for model has not been treated in the literature. To solve the model, tool was developed, so a new technique was required to deal with the issue of high product variance and short life cycles in assemble to order.

Keywords: hybrid manufacturing system, supply chain system, make to order, make to stock, assemble to order

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17656 Biosignal Recognition for Personal Identification

Authors: Hadri Hussain, M.Nasir Ibrahim, Chee-Ming Ting, Mariani Idroas, Fuad Numan, Alias Mohd Noor

Abstract:

A biometric security system has become an important application in client identification and verification system. A conventional biometric system is normally based on unimodal biometric that depends on either behavioural or physiological information for authentication purposes. The behavioural biometric depends on human body biometric signal (such as speech) and biosignal biometric (such as electrocardiogram (ECG) and phonocardiogram or heart sound (HS)). The speech signal is commonly used in a recognition system in biometric, while the ECG and the HS have been used to identify a person’s diseases uniquely related to its cluster. However, the conventional biometric system is liable to spoof attack that will affect the performance of the system. Therefore, a multimodal biometric security system is developed, which is based on biometric signal of ECG, HS, and speech. The biosignal data involved in the biometric system is initially segmented, with each segment Mel Frequency Cepstral Coefficients (MFCC) method is exploited for extracting the feature. The Hidden Markov Model (HMM) is used to model the client and to classify the unknown input with respect to the modal. The recognition system involved training and testing session that is known as client identification (CID). In this project, twenty clients are tested with the developed system. The best overall performance at 44 kHz was 93.92% for ECG and the worst overall performance was ECG at 88.47%. The results were compared to the best overall performance at 44 kHz for (20clients) to increment of clients, which was 90.00% for HS and the worst overall performance falls at ECG at 79.91%. It can be concluded that the difference multimodal biometric has a substantial effect on performance of the biometric system and with the increment of data, even with higher frequency sampling, the performance still decreased slightly as predicted.

Keywords: electrocardiogram, phonocardiogram, hidden markov model, mel frequency cepstral coeffiecients, client identification

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17655 Conceptualizing IoT Based Framework for Enhancing Environmental Accounting By ERP Systems

Authors: Amin Ebrahimi Ghadi, Morteza Moalagh

Abstract:

This research is carried out to find how a perfect combination of IoT architecture (Internet of Things) and ERP system can strengthen environmental accounting to incorporate both economic and environmental information. IoT (e.g., sensors, software, and other technologies) can be used in the company’s value chain from raw material extraction through materials processing, manufacturing products, distribution, use, repair, maintenance, and disposal or recycling products (Cradle to Grave model). The desired ERP software then will have the capability to track both midpoint and endpoint environmental impacts on a green supply chain system for the whole life cycle of a product. All these enable environmental accounting to calculate, and real-time analyze the operation environmental impacts, control costs, prepare for environmental legislation and enhance the decision-making process. In this study, we have developed a model on how to use IoT devices in life cycle assessment (LCA) to gather emissions, energy consumption, hazards, and wastes information to be processed in different modules of ERP systems in an integrated way for using in environmental accounting to achieve sustainability.

Keywords: ERP, environmental accounting, green supply chain, IOT, life cycle assessment, sustainability

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17654 Supply Chain Management in the Oil Industry: Challenges and Opportunities

Authors: Mehmood Faisal

Abstract:

In this globalization era, the supply chain management has acquired strategic importance in diverse business environments. In the current highly competitive business environment, the success of any business considerably depends on the efficiency of the supply chain. The importance of petroleum industry cannot be avoided in the global market; however, supply chain management in the petroleum industry is facing various challenges, particularly in the logistics area. These logistical challenges have a main influence on the cost of crude oil; therefore, the opportunities to save cost in logistics still do exist. The large oil producing companies are undertaking future contracts through 'swaps or options' practice that saves their millions of dollars. The objective of this paper is to throw light on the supply chain challenges and opportunities in the oil industry and on swap practices which are widely employed by large oil producing companies around the world, such as Chevron Corporation, Saudi Arabian Oil Company, BP and Exxon Mobil.

Keywords: logistics, oil industry, swap practice, supply chain management

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17653 A Markov Model for the Elderly Disability Transition and Related Factors in China

Authors: Huimin Liu, Li Xiang, Yue Liu, Jing Wang

Abstract:

Background: As one of typical case for the developing countries who are stepping into the aging times globally, more and more older people in China might face the problem of which they could not maintain normal life due to the functional disability. While the government take efforts to build long-term care system and further carry out related policies for the core concept, there is still lack of strong evidence to evaluating the profile of disability states in the elderly population and its transition rate. It has been proved that disability is a dynamic condition of the person rather than irreversible so it means possible to intervene timely on them who might be in a risk of severe disability. Objective: The aim of this study was to depict the picture of the disability transferring status of the older people in China, and then find out individual characteristics that change the state of disability to provide theory basis for disability prevention and early intervention among elderly people. Methods: Data for this study came from the 2011 baseline survey and the 2013 follow-up survey of the China Health and Retirement Longitudinal Study (CHARLS). Normal ADL function, 1~2 ADLs disability,3 or above ADLs disability and death were defined from state 1 to state 4. Multi-state Markov model was applied and the four-state homogeneous model with discrete states and discrete times from two visits follow-up data was constructed to explore factors for various progressive stages. We modeled the effect of explanatory variables on the rates of transition by using a proportional intensities model with covariate, such as gender. Result: In the total sample, state 2 constituent ratio is nearly about 17.0%, while state 3 proportion is blow the former, accounting for 8.5%. Moreover, ADL disability statistics difference is not obvious between two years. About half of the state 2 in 2011 improved to become normal in 2013 even though they get elder. However, state 3 transferred into the proportion of death increased obviously, closed to the proportion back to state 2 or normal functions. From the estimated intensities, we see the older people are eleven times as likely to develop at 1~2 ADLs disability than dying. After disability onset (state 2), progression to state 3 is 30% more likely than recovery. Once in state 3, a mean of 0.76 years is spent before death or recovery. In this model, a typical person in state 2 has a probability of 0.5 of disability-free one year from now while the moderate disabled or above has a probability of 0.14 being dead. Conclusion: On the long-term care cost considerations, preventive programs for delay the disability progression of the elderly could be adopted based on the current disabled state and main factors of each stage. And in general terms, those focusing elderly individuals who are moderate or above disabled should go first.

Keywords: Markov model, elderly people, disability, transition intensity

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17652 A Framework for Event-Based Monitoring of Business Processes in the Supply Chain Management of Industry 4.0

Authors: Johannes Atug, Andreas Radke, Mitchell Tseng, Gunther Reinhart

Abstract:

In modern supply chains, large numbers of SKU (Stock-Keeping-Unit) need to be timely managed, and any delays in noticing disruptions of items often limit the ability to defer the impact on customer order fulfillment. However, in supply chains of IoT-connected enterprises, the ERP (Enterprise-Resource-Planning), the MES (Manufacturing-Execution-System) and the SCADA (Supervisory-Control-and-Data-Acquisition) systems generate large amounts of data, which generally glean much earlier notice of deviations in the business process steps. That is, analyzing these streams of data with process mining techniques allows the monitoring of the supply chain business processes and thus identification of items that deviate from the standard order fulfillment process. In this paper, a framework to enable event-based SCM (Supply-Chain-Management) processes including an overview of core enabling technologies are presented, which is based on the RAMI (Reference-Architecture-Model for Industrie 4.0) architecture. The application of this framework in the industry is presented, and implications for SCM in industry 4.0 and further research are outlined.

Keywords: cyber-physical production systems, event-based monitoring, supply chain management, RAMI (Reference-Architecture-Model for Industrie 4.0)

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17651 Optimisation of B2C Supply Chain Resource Allocation

Authors: Firdaous Zair, Zoubir Elfelsoufi, Mohammed Fourka

Abstract:

The allocation of resources is an issue that is needed on the tactical and operational strategic plan. This work considers the allocation of resources in the case of pure players, manufacturers and Click & Mortars that have launched online sales. The aim is to improve the level of customer satisfaction and maintaining the benefits of e-retailer and of its cooperators and reducing costs and risks. Our contribution is a decision support system and tool for improving the allocation of resources in logistics chains e-commerce B2C context. We first modeled the B2C chain with all operations that integrates and possible scenarios since online retailers offer a wide selection of personalized service. The personalized services that online shopping companies offer to the clients can be embodied in many aspects, such as the customizations of payment, the distribution methods, and after-sales service choices. In addition, every aspect of customized service has several modes. At that time, we analyzed the optimization problems of supply chain resource allocation in customized online shopping service mode, which is different from the supply chain resource allocation under traditional manufacturing or service circumstances. Then we realized an optimization model and algorithm for the development based on the analysis of the allocation of the B2C supply chain resources. It is a multi-objective optimization that considers the collaboration of resources in operations, time and costs but also the risks and the quality of services as well as dynamic and uncertain characters related to the request.

Keywords: e-commerce, supply chain, B2C, optimisation, resource allocation

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17650 Green Intellectual Capital and Green Supply Chain Performance

Authors: Mohammed Ibrahim Bu Haya, Abdelmoneim Bahyeldin Mohamed Metwally

Abstract:

This paper examines the impact of Green Intellectual Capital (GIC) on Green Supply Chain Performance (GSCP). Further, the study examines the moderating role of external pressures (EP) on the relationship between GIC and GSCP. Data were collected from employees working in Egyptian hotels and tourism companies (N= 366). The collected data were analyzed using smart partial least squares (Smart-PLS) software. The current research indicated that there is a positive and significant impact of all GIC components on GSCP. The results also revealed that EP were found to moderate the relationship between GIC and GSCP. The study model was able to explain 63.1% of the variance in GSCP. The findings of this study serve as a pivotal yardstick for guiding corporate policy formulation, offering valuable insights to drive continuous improvements in supply chain management and performance. Furthermore, the research holds substantial implications for managerial strategies by shedding light on the potential of GIC and EP to elevate GSCP. Positioned as one of the initial studies to delve into the moderating role of EP in the relationship between GIC and GSCP, this research offers insights within an emerging market context.

Keywords: green intellectual capital, green supply chain, supply chain performance, external pressures, emerging economy, Egypt

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17649 Predictability of Supply Chain in Indian Automobile Division

Authors: Dharamvir Mangal

Abstract:

Supply chain management has increasingly become an inevitable challenge to most companies to continuously survive and prosper in the global chain-based competitive environment. The current challenges of the Indian automotive world, their implications on supply chain are summarized and analyzed in this paper. In this competitive era of ‘LPG’ i.e. Liberalization, Privatization and Globalization, modern marketing systems, introduction of products with short life cycles, and the discriminating expectations of customers have enforced business enterprises to invest in and focus attention on their Supply Chains (SCs) in order to meet out the level of customer’s satisfaction and to survive in the competitive market. In fact, many of trends in the auto industry are reinforcing the need to redefine supply chain strategies layouts, and operations etc. Many manufacturing operations are designed to maximize throughput and lower costs with modest considerations for the crash on inventory levels and distribution capabilities. To improve profitability and efficiency, automotive players are seeking ways to achieve operational excellence, reduce operating cost and enhance customer service through efficient supply chain management.

Keywords: automotive industry, supply chain, challenges, market potential

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17648 Risk Management Approach for Lean, Agile, Resilient and Green Supply Chain

Authors: Benmoussa Rachid, Deguio Roland, Dubois Sebastien, Rasovska Ivana

Abstract:

Implementation of LARG (Lean, Agile, Resilient, Green) practices in the supply chain management is a complex task mainly because ecological, economical and operational goals are usually in conflict. To implement these LARG practices successfully, companies’ need relevant decision making tools allowing processes performance control and improvement strategies visibility. To contribute to this issue, this work tries to answer the following research question: How to master performance and anticipate problems in supply chain LARG practices implementation? To answer this question, a risk management approach (RMA) is adopted. Indeed, the proposed RMA aims basically to assess the ability of a supply chain, guided by “Lean, Green and Achievement” performance goals, to face “agility and resilience risk” factors. To proof its relevance, a logistics academic case study based on simulation is used to illustrate all its stages. It shows particularly how to build the “LARG risk map” which is the main output of this approach.

Keywords: agile supply chain, lean supply chain, green supply chain, resilient supply chain, risk approach

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17647 Supply Chain Decarbonisation – A Cost-Based Decision Support Model in Slow Steaming Maritime Operations

Authors: Eugene Y. C. Wong, Henry Y. K. Lau, Mardjuki Raman

Abstract:

CO2 emissions from maritime transport operations represent a substantial part of the total greenhouse gas emission. Vessels are designed with better energy efficiency. Minimizing CO2 emission in maritime operations plays an important role in supply chain decarbonisation. This paper reviews the initiatives on slow steaming operations towards the reduction of carbon emission. It investigates the relationship and impact among slow steaming cost reduction, carbon emission reduction, and shipment delay. A scenario-based cost-driven decision support model is developed to facilitate the selection of the optimal slow steaming options, considering the cost on bunker fuel consumption, available speed, carbon emission, and shipment delay. The incorporation of the social cost of cargo is reviewed and suggested. Additional measures on the effect of vessels sizes, routing, and type of fuels towards decarbonisation are discussed.

Keywords: slow steaming, carbon emission, maritime logistics, sustainability, green supply chain

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17646 Three-Stage Mining Metals Supply Chain Coordination and Product Quality Improvement with Revenue Sharing Contract

Authors: Hamed Homaei, Iraj Mahdavi, Ali Tajdin

Abstract:

One of the main concerns of miners is to increase the quality level of their products because the mining metals price depends on their quality level; however, increasing the quality level of these products has different costs at different levels of the supply chain. These costs usually increase after extractor level. This paper studies the coordination issue of a decentralized three-level supply chain with one supplier (extractor), one mineral processor and one manufacturer in which the increasing product quality level cost at the processor level is higher than the supplier and at the level of the manufacturer is more than the processor. We identify the optimal product quality level for each supply chain member by designing a revenue sharing contract. Finally, numerical examples show that the designed contract not only increases the final product quality level but also provides a win-win condition for all supply chain members and increases the whole supply chain profit.

Keywords: three-stage supply chain, product quality improvement, channel coordination, revenue sharing

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17645 Comparison of Two Maintenance Policies for a Two-Unit Series System Considering General Repair

Authors: Seyedvahid Najafi, Viliam Makis

Abstract:

In recent years, maintenance optimization has attracted special attention due to the growth of industrial systems complexity. Maintenance costs are high for many systems, and preventive maintenance is effective when it increases operations' reliability and safety at a reduced cost. The novelty of this research is to consider general repair in the modeling of multi-unit series systems and solve the maintenance problem for such systems using the semi-Markov decision process (SMDP) framework. We propose an opportunistic maintenance policy for a series system composed of two main units. Unit 1, which is more expensive than unit 2, is subjected to condition monitoring, and its deterioration is modeled using a gamma process. Unit 1 hazard rate is estimated by the proportional hazards model (PHM), and two hazard rate control limits are considered as the thresholds of maintenance interventions for unit 1. Maintenance is performed on unit 2, considering an age control limit. The objective is to find the optimal control limits and minimize the long-run expected average cost per unit time. The proposed algorithm is applied to a numerical example to compare the effectiveness of the proposed policy (policy Ⅰ) with policy Ⅱ, which is similar to policy Ⅰ, but instead of general repair, replacement is performed. Results show that policy Ⅰ leads to lower average cost compared with policy Ⅱ. 

Keywords: condition-based maintenance, proportional hazards model, semi-Markov decision process, two-unit series systems

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17644 Development of a Decision Model to Optimize Total Cost in Food Supply Chain

Authors: Henry Lau, Dilupa Nakandala, Li Zhao

Abstract:

All along the length of the supply chain, fresh food firms face the challenge of managing both product quality, due to the perishable nature of the products, and product cost. This paper develops a method to assist logistics managers upstream in the fresh food supply chain in making cost optimized decisions regarding transportation, with the objective of minimizing the total cost while maintaining the quality of food products above acceptable levels. Considering the case of multiple fresh food products collected from multiple farms being transported to a warehouse or a retailer, this study develops a total cost model that includes various costs incurred during transportation. The practical application of the model is illustrated by using several computational intelligence approaches including Genetic Algorithms (GA), Fuzzy Genetic Algorithms (FGA) as well as an improved Simulated Annealing (SA) procedure applied with a repair mechanism for efficiency benchmarking. We demonstrate the practical viability of these approaches by using a simulation study based on pertinent data and evaluate the simulation outcomes. The application of the proposed total cost model was demonstrated using three approaches of GA, FGA and SA with a repair mechanism. All three approaches are adoptable; however, based on the performance evaluation, it was evident that the FGA is more likely to produce a better performance than the other two approaches of GA and SA. This study provides a pragmatic approach for supporting logistics and supply chain practitioners in fresh food industry in making important decisions on the arrangements and procedures related to the transportation of multiple fresh food products to a warehouse from multiple farms in a cost-effective way without compromising product quality. This study extends the literature on cold supply chain management by investigating cost and quality optimization in a multi-product scenario from farms to a retailer and, minimizing cost by managing the quality above expected quality levels at delivery. The scalability of the proposed generic function enables the application to alternative situations in practice such as different storage environments and transportation conditions.

Keywords: cost optimization, food supply chain, fuzzy sets, genetic algorithms, product quality, transportation

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17643 Key Performance Indicators of Cold Supply Chain Practices in Agriculture Sector: Empirical Study on the Egyptian Export Companies

Authors: Ahmed Barakat, Nourhan Ahmed Saad, Mahmoud Hammad

Abstract:

Tracking and monitoring agricultural products, cold chain activities, and transportation in real-time can effectively ensure both the quality and safety of agricultural products, as well as reduce overall logistics costs. Effective supply chain practices are one of the main requirements for enhancing agricultural business in Egypt. Cold chain is among the best practices for the storage and transportation of perishable goods and has potential within the agricultural sector in Egypt. This practice has the scope of reducing the wastage of food and increasing the profitability with a reduction in costs. Even though it has several implementation challenges for the farmers, traders, and people involved in the entire supply chain, it has highlighted better benefits for all and for the export of goods for the economic progression for Egypt. The aim of this paper is to explore cold supply chain practices for the agriculture sector in Egypt, to enhance the export performance of fresh goods. In this context, this study attempts to explore those aspects of the performance of cold supply chain practices that can enhance the functioning of the agriculture sector in Egypt from the perspective of export companies (traders) and farmers. Based on the empirical results obtained by data collection from the farmers and traders, the study argues that there is a significant association between cold supply chain practices and enhancement of the agriculture value chain. The paper thus highlights the contribution of the study with final conclusions and limitations with scope for future research.

Keywords: agriculture sector, cold chain management, export companies, non-traded goods, supply chain management

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17642 Analysis of a Discrete-time Geo/G/1 Queue Integrated with (s, Q) Inventory Policy at a Service Facility

Authors: Akash Verma, Sujit Kumar Samanta

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This study examines a discrete-time Geo/G/1 queueing-inventory system attached with (s, Q) inventory policy. Assume that the customers follow the Bernoulli process on arrival. Each customer demands a single item with arbitrarily distributed service time. The inventory is replenished by an outside supplier, and the lead time for the replenishment is determined by a geometric distribution. There is a single server and infinite waiting space in this facility. Demands must wait in the specified waiting area during a stock-out period. The customers are served on a first-come-first-served basis. With the help of the embedded Markov chain technique, we determine the joint probability distributions of the number of customers in the system and the number of items in stock at the post-departure epoch using the Matrix Analytic approach. We relate the system length distribution at post-departure and outside observer's epochs to determine the joint probability distribution at the outside observer's epoch. We use probability distributions at random epochs to determine the waiting time distribution. We obtain the performance measures to construct the cost function. The optimum values of the order quantity and reordering point are found numerically for the variety of model parameters.

Keywords: discrete-time queueing inventory model, matrix analytic method, waiting-time analysis, cost optimization

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17641 Value Chain Analysis of Melon “Egusi” (Citrullus lanatus Thunb. Mansf) among Rural Farm Enterprises in South East, Nigeria

Authors: Chigozirim Onwusiribe, Jude Mbanasor

Abstract:

Egusi Melon (Citrullus Lanatus Thunb. Mansf ) is a very important oil seed that serves a major ingredient in the diet of most of the households in Nigeria. Egusi Melon is very nutritious and very important in meeting the food security needs of Nigerians. Egusi Melon is cultivated in most farm enterprise in South East Nigeria but the profitability of its value chain needs to be investigated. This study analyzed the profitability of the Egusi Melon value chain. Specifically this study developed a value chain map for Egusi Melon, analysed the profitability of each stage of the Egusi Melon Value chain and analysed the determinants of the profitability of the Egusi Melon at each stage of the value chain. Multi stage sampling technique was used to select 125 farm enterprises with similar capacity and characteristics. Questionnaire and interview were used to elicit the required data while descriptive statistics, Food and Agriculture Organization Value Chain Analysis Tool, profitability ratios and multiple regression analysis were used for the data analysis. One of the findings showed that the stages of the Egusi Melon value chain are very profitable. Based on the findings, we recommend the provision of grants by government and donor agencies to the farm enterprises through their cooperative societies, this will provide the necessary funds for the local fabrication of value addition and processing equipment to suit their unique value addition needs not met by the imported equipment.

Keywords: value, chain, melon, farm, enterprises

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17640 Analysis of Supply Chain Complexity Sub-Dimensions for Garment Industry

Authors: Niyanta Mehra, Aakriti Khurania, Kshitij Rastogi, S. K. Garg

Abstract:

There is plenty of literature available that accounts for complexity management in a supply chain. A major fraction of this literature considers a large number of parameters in order to devise management techniques. However, multiple such parameters do not directly affect the result, and incorporating these can make the analyses overly complicated. Most of the causes of supply chain inefficiencies are due to the interconnectedness and interdependencies in the structure, processes, and environment of the supply chains. The level of complexity varies across industries in terms of intensity and ease of management. After a review of the literature related to complexities in supply chains, the paper attempts to build a framework to study the relative significance of these complexities. This paper aims to identify critical complexities for the garment industry. Understanding and controlling these complexities open avenues for better supply chain management and also assist decision-makers in the garment industry in formulating risk mitigation strategies.

Keywords: complexity dimensions, garment industry, supply chain complexity, supply chain management

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17639 Exploring the Inter-firm Collaborating and Supply Chain Innovation in the Pharmaceutical Industry

Authors: Fatima Gouiferda

Abstract:

Uncertainty and competitiveness are changing firm’s environment to become more complicated. The competition is moving to supply chain’s level, and firms need to collaborate and innovate to survive. In the current economy, common efforts between organizations and developing new capacities mutually are the key resources in gaining collaborative advantage and enhancing supply chain performance. The purpose of this paper is to explore different practices of collaboration activities that exist in the pharmaceutical industry of Morocco. Also, to inquire how these practices affect supply chain performance. The exploration is based on interpretativism research paradigm. Data were collected through semi-structured interviews from supply chain practitioners. Qualitative data was analyzed via Iramuteq software to explore different themes of the study.The findings include descriptive analysis as a result of data processing using Iramuteq. It also encompasses the content analysis of the themes extracted from interviews.

Keywords: inter-firm relationships, collaboration, supply chain innovation, morocco

Procedia PDF Downloads 48
17638 The Design of Information Technology System for Traceability of Thailand’s Tubtimjun Roseapple

Authors: Pimploi Tirastittam, Phutthiwat Waiyawuththanapoom, Sawanath Treesathon

Abstract:

As there are several countries which import agriculture product from Thailand, those countries demand Thailand to establish the traceability system. The traceability system is the tool to reduce the risk in the supply chain in a very effective way as it will help the stakeholder in the supply chain to identify the defect point which will reduce the cost of operation in the supply chain. This research is aimed to design the traceability system for Tubtimjun roseapple for exporting to China, and it is the qualitative research. The data was collected from the expert in the tuntimjun roseapple and fruit exporting industry, and the data was used to design the traceability system. The design of the tubtimjun roseapple traceability system was followed the theory of supply chain which starts from the upstream of the supply chain to the downstream of the supply chain to support the process and condition of the exporting which included the database designing, system architecture, user interface design and information technology of the traceability system.

Keywords: design information, technology system, traceability, tubtimjun roseapple

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17637 Modelling Operational Risk Using Extreme Value Theory and Skew t-Copulas via Bayesian Inference

Authors: Betty Johanna Garzon Rozo, Jonathan Crook, Fernando Moreira

Abstract:

Operational risk losses are heavy tailed and are likely to be asymmetric and extremely dependent among business lines/event types. We propose a new methodology to assess, in a multivariate way, the asymmetry and extreme dependence between severity distributions, and to calculate the capital for Operational Risk. This methodology simultaneously uses (i) several parametric distributions and an alternative mix distribution (the Lognormal for the body of losses and the Generalized Pareto Distribution for the tail) via extreme value theory using SAS®, (ii) the multivariate skew t-copula applied for the first time for operational losses and (iii) Bayesian theory to estimate new n-dimensional skew t-copula models via Markov chain Monte Carlo (MCMC) simulation. This paper analyses a newly operational loss data set, SAS Global Operational Risk Data [SAS OpRisk], to model operational risk at international financial institutions. All the severity models are constructed in SAS® 9.2. We implement the procedure PROC SEVERITY and PROC NLMIXED. This paper focuses in describing this implementation.

Keywords: operational risk, loss distribution approach, extreme value theory, copulas

Procedia PDF Downloads 581