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Modern supply chains are attempting to gain competitive advantages in a fiercely competitive marketplace through adopting new initiatives and practices such as lean and just-in-time. These initiatives are suitable for a stable world but... more
Modern supply chains are attempting to gain competitive advantages in a fiercely competitive marketplace through adopting new initiatives and practices such as lean and just-in-time. These initiatives are suitable for a stable world but they could make the supply chain more vulnerable to the external
disruptions such as natural and man-made disasters. This paper aims at studying the dynamics of a disrupted supply chain under a coordination mechanism that is designed to achieve efficiency and resiliency. The proposed procedure relies on establishing a novel replenishment policy based on an information sharing approach to replace traditional policies. In this policy, replenishment orders will be divided into two streams, transmitting both real demand information and required inventory adjustments to the whole supply chain. A simulation model for a four-echelon supply chain has been considered to evaluate the information sharing policy and to compare it with an order-up-to level policy, determining the dynamics of ordering and inventory before and after the disruption. The results showed how the suggested approach was successful in recovering the disrupted supply chain to a stable performance by reducing effects on inventory and ordering patterns.
Research Interests:
Inventory replenishment rules have been recognized as a major cause of the bullwhip effect and inventory instability in multi-echelon supply chains. There is a trade-off between bullwhip effect and inventory stability where mitigating the... more
Inventory replenishment rules have been recognized as a major cause of the bullwhip effect and inventory instability in multi-echelon supply chains. There is a trade-off between bullwhip effect and inventory stability where mitigating the bullwhip effect through order smoothing might increase inventory instability. Therefore, there is a substantial need for inventory control policies that can cope with supply chains dynamics. This paper attempts to formulate an inventory control system based on a statistical control chart approach to handle the trade-off between order variability amplification and inventory stability. The proposed replenishment system, namely IR-SPC, incorporates individual control charts to control both the inventory position and the placed orders. A simulation study has been conducted to evaluate and compare the IR-SPC with a generalized order-up-to that has order smoothing mechanism. The comparisons showed that the IR-SPC outperforms both the smoothing order-up-to policy and the Min-Max inventory policy in terms of bullwhip effect and inventory performances.
Research Interests:
The lack of coordination in supply chains can cause various inefficiencies like bullwhip effect and inventory instability. Extensive researches quantified the value of sharing and forecasting of customer demand, considering that all the... more
The lack of coordination in supply chains can cause various inefficiencies like bullwhip effect and inventory instability. Extensive researches quantified the value of sharing and forecasting of customer demand, considering that all the supply chain partners can have access to the same information. However, only few studies devoted to identify the value of limited collaboration or information visibility, considering their impact on the overall supply chain performances for local and global service level. This paper attempts to fill this gap by investigating the interaction of collaboration and coordination in a fourechelon
supply chain under different scenarios of information sharing level. The results of the simulation study show to what extent the bullwhip effect and the inventory variance increase and amplify when a periodic review order-up-to level policy applies, noting that more benefits generate when coordination starts at downstream echelons. A factorial design confirmed the importance of information sharing and quantified its interactions with inventory control parameters, proving that a poor forecasting and definition of safety stock levels have a significant contribution to the instability across the chain. These results provide useful implications for supply chain managers on how to control and drive supply chain performances.
Research Interests:
Demand signal processing contributes significantly to the bullwhip effect and inventory instability in supply chains. Most previous studies have been attempting to evaluate the impact of available traditional forecasting methods on the... more
Demand signal processing contributes significantly to the bullwhip effect and inventory instability in supply chains. Most previous studies have been attempting to evaluate the impact of available traditional forecasting methods on the bullwhip effect. Recently, some researchers have employed SPC control charts for developing forecasting and inventory control systems that can regulate the reaction to short-run fluctuations in demand. This paper evaluates a SPC forecasting system denoted as SPC-FS that utilizes a control chart approach integrated with a set of simple decision rules to counteract the bullwhip effect whilst keeping a competitive inventory performance. The performance of SPC-FS is evaluated and compared with moving average and exponential smoothing in a four-echelon supply chain employs the order-up-to (OUT) inventory policy, through a simulation study. The results show that SPC-FS is superior to the other traditional forecasting methods in terms of bullwhip effect and inventory variance under
different operational settings. The results confirm the previous researches that the moving average achieves a lower bullwhip effect than the exponential smoothing, and we further extend this conclusion to the inventory variance.
Research Interests:
Inventory replenishment rules contribute significantly to the bullwhip effect and inventory instability in supply chains. Smoothing replenishment rules have been suggested as a mitigation solution for the bullwhip effect but dampening the... more
Inventory replenishment rules contribute significantly to the bullwhip effect and inventory instability in supply chains. Smoothing replenishment rules have been suggested as a mitigation solution for the bullwhip effect but dampening the bullwhip effect might increase inventory instability. This paper evaluates a real-time inventory replenishment system denoted as SPC that utilizes a control chart approach to counteract the bullwhip effect whilst achieving competitive inventory stability. The SPC employs two control charts integrated with a set of decision rules to estimate the expected demand and adjust the inventory position, respectively. The first control chart works as a forecasting mechanism and the second control chart is devoted to control the inventory position variation whilst allowing order smoothing. A
simulation analysis has been conducted to evaluate and compare SPC with a generalized (R, S) policy in a four-echelon supply chain, under various operational settings in terms of demand process, lead-time and information sharing. The results show that SPC is superior to the traditional (R, S) and comparable to the smoothing one in terms of bullwhip effect, inventory variance, and service level. Further managerial implications have been obtained from the results.
Research Interests:
Research Interests:
Research Interests:
The lack of coordination among supply chain members and the local optimization of each member for his own benefits without considering the impact on other members cause inefficiencies in supply chains. Bullwhip effect is one of these... more
The lack of coordination among supply chain members and the local optimization of each member for his own benefits without considering the impact on other members cause inefficiencies in supply chains. Bullwhip effect is one of these inefficiencies. Bullwhip effect has been defined as the amplification of demand information as it moves upstream the supply chain. This distortion in demand information leads to excessive inventories, insufficient capacities and high transportation costs.
Abstract Bullwhip effect is defined as the distortion of demand information as one moves upstream in the supply chain. Ordering policies have been recognized as one of the most important operational causes of bullwhip effect. This paper... more
Abstract Bullwhip effect is defined as the distortion of demand information as one moves upstream in the supply chain. Ordering policies have been recognized as one of the most important operational causes of bullwhip effect. This paper investigates the impact of various classical ordering policies on ordering and inventories behaviors in a multi-echelon supply chain through a simulation study.
Abstract Simulation games have been utilized as an educational tool in order to complement the traditional teaching methods. They have been widely applied in the teaching of different subjects such as business management, nursing, and... more
Abstract Simulation games have been utilized as an educational tool in order to complement the traditional teaching methods. They have been widely applied in the teaching of different subjects such as business management, nursing, and medicine. This paper proposes a new simulation game which simulates a production system that consists of a set of machines, conveyors, and other components.
The exhibited pattern on a control chart is classified as either natural or unnatural pattern. The presence of an unnatural pattern is evidence that a process is out of control. This paper devises neural networks as an intelligent tool to... more
The exhibited pattern on a control chart is classified as either natural or unnatural pattern. The presence of an unnatural pattern is evidence that a process is out of control. This paper devises neural networks as an intelligent tool to automate the identification of the different control chart patterns, and to accurately estimate their parameters. Two neural networks, named 'NN-1' and 'NN-2', are integrated together to perform the identification and the parameter estimation. The first stage 'NN-1' is developed to identify the existing pattern in the control data, and the second stage 'NN-2' is used to estimate the parameters of that pattern. NN-1 is developed to identify the five basic control chart patterns; namely: natural, upward shift, downward shift, upward trend, and downward trend. The probability of success in identifying the correct control charts pattern and its parameters is used to evaluate the performance of both NN-1and NN-2. Performance results of NN-1 and NN-2 are compared with other previous leading research work. Comparisons show that the proposed neural network approach yield better probability of success than the others.
A control chart is one of the key tools in statistical process control. The exhibited pattern on a control chart indicates either a process is in control or out of control. The control chart patterns are classified to natural and... more
A control chart is one of the key tools in statistical process control. The exhibited pattern on a control chart indicates either a process is in control or out of control. The control chart patterns are classified to natural and unnatural patterns. The presence of unnatural patterns is evidence that the process is out of control. This paper proposes an artificial neural network algorithm to detect and identify any of the five basic control chart patterns; namely, natural, upward shift, downward shift, upward trend, and downward trend. This identification is in addition to the traditional statistical detection of sequential data runs. It is assumed that a process starts in control (has natural pattern) and then may undergo only under one out-of-control pattern at a time. The performance of the proposed algorithm was evaluated by measuring the probability of success in identifying the five basic patterns accurately and comparing these results with previous research. The comparison showed that the proposed algorithm is comparable if not superior.
The identification of control chart patterns is very important in statistical process control. Control chart patterns are categorized as natural and unnatural. The presence of unnatural patterns means that a process is out of statistical... more
The identification of control chart patterns is very important in statistical process control. Control chart patterns are categorized as natural and unnatural. The presence of unnatural patterns means that a process is out of statistical control and there are assignable causes for process variation that should be investigated. This paper proposes an artificial neural network algorithm to identify the three basic control chart patterns; natural, shift, and trend. This identification is in addition to the traditional statistical detection of runs in data, since runs are one of the out of control situations. It is assumed that a process starts as a natural pattern and then may undergo only one out of control pattern at a time. The performance of the proposed algorithm was evaluated by measuring the probability of success in identifying the three basic patterns accurately, and comparing these results with previous research work. The comparison showed that the proposed algorithm realized better identification than others.