Supply chain network optimization model: incorporating competitive facility location problem

Abstract

In this book, a multi-objective SC network optimization model, incorporating competitive facility location models is developed. The objectives utilized in the model are; profit maximization, sales maximization and SC risk minimization. The model is applied to a real life problem of one of the leading ready – wear clothing companies in Turkey. The results show that modeling the problem as profit maximization does not generate required results and all three performance measures (profit, sales, risks) need to be taken into account. The results also proved that including attraction function on the model may change the performance results of the model and eventually SC network decisions.