Bi-objective supply chain planning in a fuzzy environment

This paper proposes a fuzzy bi-objective mixed integer linear programming formulation and solution methodology for a multi-echelon, multi-product and multi-period supply chain planning. The supply chain is a network of suppliers, plants, distribution centers, cross-docks and retailers. Products are delivered to retailers through cross-docks or directly from manufacturing plants. Cross-docking as an efficient logistic strategy is an intermediate level that involves receiving products from various resources (distribution centers), sorting and then shipping them to their destinations (retailers). The aim of this paper is to present a model that minimizes the total cost and develops a just-in-time (JIT) distribution for the supply chain. The proposed model integrates procurement, production and distribution plans in the tactical level under fuzzy supply, production and demand by considering cross-docking and direct shipments simultaneously. Triangular fuzzy numbers are adapted to represent fuzzy parameters. Moreover, the fuzzy chance-constrained programming is applied to transform the fuzzy model into an auxiliary crisp model.