Work

Modelling and Simulation of Fresh-Product Supply Chain Considering Random Circulation Losses

Year: 2020

Type: article

Abstract: Random circulation losses of fresh products are also a great challenge that affects the decision-making of farmers and enterprises as well as the revenue management of both parties.Considering a freshproduct supply chain (FSC) comprising a single enterprise and a single farmer with random circulation losses, we explore the optimal ordering of the enterprise, optimal planting of the farmer, and risksharing mechanism of both participants.After modelling the optimal decision model of centralized FSC, we solve the optimal global solutions that exist uniquely.Then, a risk-sharing contract, called a wholesale price contract, is designed that can coordinate the decentralized FSC.Finally, a simulation of sensitivity analysis using MATLAB soft is figured out to explore the influence of random risks on the optimal solutions and the contract parameters.Furthermore, some conclusions and future researches are given.

Source: International Journal of Simulation Modelling

DOI: 10.2507/ijsimm19-1-co5

Authors: X. Fang, R. Wang, F. J. Yuan, Y. Gong, J. R. Cai, Y. L. Wang

Institution: Chongqing Technology and Business University

Language: English

Topic: Supply Chain and Inventory Management

Subfield: Management Science and Operations Research

Field: Decision Sciences

Domain: Social Sciences

SDGs: Zero hunger, Responsible consumption and production

Open Access status: diamond

Funders: Ministry of Education of the People's Republic of China, Chongqing Technology and Business University, China Scholarship Council, National Social Science Fund of China