• DocumentCode
    3486414
  • Title

    Response to the supply chain disruptions with multiple sourcing

  • Author

    Xiaoqiang, Zhou ; Huijiang, Fang

  • Author_Institution
    Modern Econ. Manage. Coll., Jiangxi Univ. of Finance & Econ., Nanchang, China
  • fYear
    2009
  • fDate
    5-7 Aug. 2009
  • Firstpage
    136
  • Lastpage
    139
  • Abstract
    The supply disruption has more influences on the enterprise performance than the demand disruption, while closer cooperation with suppliers is extremely important to mitigate supply disruption risk and improve performance. After the global supply chain emergencies arising frequently, all companies should ensure that supply disruption management becomes an intrinsic part of decision-making, to deal with the suppliers not fulfilling orders. Considered a two-echelon supply chain including one purchaser and two equal suppliers, in which the suppliers occurred common and unique supply disruption, this paper researched which measures the purchaser should take to maximize his expectation income. It concludes that the ordering quantity in multiple sourcing strategy is more than in single sourcing strategy, so multiple sourcing have function as safety storage; and for some special demand distribution function, such as uniformity distribution, multiple sourcing gains more expectation income than single sourcing.
  • Keywords
    decision making; decision theory; decision trees; optimisation; order processing; procurement; purchasing; risk management; stochastic processes; decision tree analysis; demand distribution function; expectation income maximization; global supply chain emergency; multiple sourcing strategy; order quantity allocation; procurement decision-making; purchasing; stochastic demand; supply chain disruption management; supply disruption risk mitigation; two-echelon supply chain; Costs; Decision making; Disaster management; Economic forecasting; Environmental economics; Logistics; Raw materials; Risk management; Supply chain management; Supply chains; Supply Chain Disruptions; decision-making; multiple sourcing; procurement decision;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Automation and Logistics, 2009. ICAL '09. IEEE International Conference on
  • Conference_Location
    Shenyang
  • Print_ISBN
    978-1-4244-4794-7
  • Electronic_ISBN
    978-1-4244-4795-4
  • Type

    conf

  • DOI
    10.1109/ICAL.2009.5262956
  • Filename
    5262956