Location and Allocation in Multi-Level Supply Chain Network of Projects

Abstract

This research aims to optimize cost and demand-satisfaction in a 3-level supply chain management for a portfolio of projects at EPC companies, including vendors (for product procurement), warehouses as distribution centers, and projects as demand zones. In contrast, it reduces the costs of transporting and warehousing and increases demand satisfying for projects. We utilize the Multi-objective Particle Swarm Optimization (MOPSO) meta-heuristic algorithm to solve this model and the decision-making of vendors and warehouses. Besides, it leads to demand and storage allocation and monitoring of product flow between these levels of the portfolio supply chain.