A Mixed Integer Linear Programming Approach for Two Stage Supply Chain Network Coordination of Agricultural Products Considering Uncertainty

M. K. Islam¹ , M. F. Uddin² , M. M. Alam³ , G. M. O. Faruque⁴

Section:Research Paper, Product Type: Journal-Paper
Vol.6 , Issue.6 , pp.36-45, Dec-2019

CrossRef-DOI:   https://doi.org/10.26438/ijsrmss/v6i6.3645

Online published on Dec 31, 2019

Copyright © M. K. Islam, M. F. Uddin, M. M. Alam, G. M. O. Faruque . This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
 

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Abstract :
In this paper, presents two stage supply chain network (SCN) coordination of agricultural products considering uncertainty. Most of the agricultural products are in general cost expensive with high risk in probability due to its fluctuating prices. We developed mixed integer linear programming (MILP) model and to analyze the situation of insufficient production capacity for the producer as the reason for shortages. In this paper, we investigated supply chain network (SCN) are two distinct freelance supply organizations. SCN management has the difficulties for the disconnected and freelance economic people. Further, fast technological changes and high fight build SCN a lot of complicated. The problem of locating distribution centers (DCs) is one among the foremost necessary problems in design of SCN. This study, we have to optimize the profit before and after coordination and also to analyze the sensitivity under demand uncertainty. We consider the facilities are coordinated by mutually sharing information with each other between producer and wholesaler. The formulated MILP model is solved by using a mathematical programming language (AMPL) and results obtained by appropriate solver MINOS.

Key-Words / Index Term :
Mixed integer linear programming, Coordination, Optimization, Agricultural products, Uncertainty

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