The process of choosing appropriate supply chain performance measures is difficult due to the complexity of these systems. The paper presents an overview and evaluation of the performance measures used in supply chain models and also presents a framework for the selection of performance measurement systems for manufacturing supply chains. Three types of performance measures are identified as necessary components in any supply chain performance measurement system, and new flexibility measures for supply chains are developed.

Measuring supply chain performance

Supply chain design and analysis:: Models and methods

Supply chain modeling: past, present and future

https://web.stanford.edu/class/msande312/restricted/klos04facility.pdf

Facility location models for distribution system design

A global economy and increase in customer expectations in terms of cost and services have put a premium on effective supply chain reengineering. It is essential to perform risk-benefit analysis of reengineering alternatives before making a final decision. Simulation provides an effective pragmatic approach to detailed analysis and evaluation of supply chain design and management alternatives. However, the utility of this methodology is hampered by the time and effort required to develop models with sufficient fidelity to the actual supply chain of interest. In this paper, we describe a supply chain modeling framework designed to overcome this difficulty. Using our approach, supply chain models are composed from software components that represent types of supply chain agents (e.g., retailers, manufacturers, transporters), their constituent control elements (e.g., inventory policy), and their interaction protocols (e.g., message types). The underlying library of supply chain modeling components has been derived from analysis of several different supply chains. It provides a reusable base of domain-specific primitives that enables rapid development of customized decision support tools.

/pdf/modeling-supply-chain-dynamics-a-multiagent-approach-413i21ayvo.pdf

Modeling Supply Chain Dynamics: A Multiagent Approach

In 1984, Bethlehem Steel Corporation installed a new ingot mold stripping facility at its Bethlehem Plant that is capable of handling taller ingots. In order to take maximum advantage of this new facility, we developed a two-phase, computer-based procedure for selecting optimal ingot and internal ingot mold dimensions. Phase I of this procedure generates feasible ingot and internal ingot mold dimensions consistent with both the new stripper's capability and with mill constraints. Phase II then uses a set covering approach to select the optimal ingot and internal ingot mold sizes from among the feasible sizes generated. After analyzing the model, we recommended six new rectangular mold sizes to replace seven existing sizes. To date, implementation of these new ingot and mold sizes is proceeding smoothly and realizing the projected cost reduction benefits.

Optimal Selection of Ingot Sizes Via Set Covering

The optimal design of a supply chain was approached in two phases by using: (1) a mathematical programming formulation and heuristic solution approach to minimize the distinct number of product types held at various points in the supply chain; and (2) a spreadsheet inventory model to estimate the safety stock needed to absorb random fluctuations in both demand and lead time throughout the system. This two-phased approach allowed management to quantify the effects of inventory required for locating parts of the supply chain in different geographic areas. The quantification of projected inventory requirements was a critical input used by senior management to clarify their final decision-making process.

https://link.springer.com/content/pdf/10.1057%2Fjors.1993.113.pdf

Kenneth L. Stott

Papers

Optimal Selection of Ingot Sizes Via Set Covering

Consolidating Product Sizes to Minimize Inventory Levels for a Multi-Stage Production and Distribution System

A set covering approach to metallurgical grade assignment

The cable trench problem: combining the shortest path and minimum spanning tree problems

A practical solution to a fuzzy two-dimensional cutting stock problem