Nilesh R Ware
Dr. SP Singh
Prof. (Dr.) DK Banwet
Abstract
Due to the presence of high fluctuation in the market and to meet the demand on time outsourcing has become an important activity for enterprises. Suppliers' evaluation and selection process is very crucial activity in the today's dynamic environment of a business organization. Due to presence of plenty of competent suppliers available to select potential supplier(s) become a vital activity for an organization which plays a major role in making the supply network efficient and effective. In this paper authors proposed a mixed-integer non-linear mathematical model for dynamic supplier selection problem under deterministic scenario. The proposed model deals with multi-product, multi-source and multi-period (MP-MS-MP) case for supplier selection of a business organization. The model considers cost, quality, and lead time as primarily factors. Coding is done in LINGO to solve the proposed model. The robustness of the proposed model is tested by varying the demand data randomly while keeping other data constant. Output of the model gives inference on selection of which supplier for which particular product and for how long time period for a given demand variation. It has been found that the proposed model provide effective results and managerial insights.
Keywords- Dynamic supplier selection, Supply chain management, MCDM, Non-linear programming.