A Multi-Objective Robust Optimization Model for a Supply Chain under Stochastic Environment
Abstract: A multi-product, multi-stage robust operating model is proposed in this paper to give an aggregate production planning in a supply chain consisting of a supplier and a manufacturer under uncer-tainty. First, operational research and optimization method are used to describe the operations of the supplier and the manufacturer, and to establish a multi-objective decision-making model for supply chain. Then, the model is used to discuss the operation of supply chain under the following three circumstances: the raw materials market and consumer market are certain, single market is uncertain and both the markets are uncertain. Combining with the robust linear optimization method, a multi-objective robust optimization model for a supply chain under stochastic envi-ronment is established. Finally, feasibility and robustness of the proposed approach are validated through the solution of several instances. The results show that the approach can calculate the order quantity of manufacturer and the payment quantity of supplier effectively and make decision for the operation of a supply chain.
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