Presenting a supply chain model using a mathematical programming method to optimize product distribution plan in the fruit industry

Document Type : Research Paper

Authors

1 Master of Industrial Engineering, Urmia University of Technology, Urmia, Iran

2 Associate Professor, Department of Industrial Engineering, Urmia University of Technology, Urmia, Iran

3 Assistant Professor, Department of Industrial Technologies, School of Industrial Engineering, Urmia University, Urmia, Iran

Abstract

Today, the rapid distribution of perishable goods is of particular importance and the loss of quality of these products creates many costs. In this research, an integrated model of supply chain network using mathematical planning method to optimize the production, storage and distribution plan of fruit with the aim of reducing costs for several periods is presented. The echelons in this chain include suppliers, sorting centers, cold stores, customers and waste customers. The goal is to determine the amount of fruit purchased from suppliers, the amount stored in cold storage, and the optimal distribution, which ultimately minimizes the cost of the entire chain. To validate the model, a case study of apple product in cities of West and East Azerbaijan provinces in 2019 was used. According to the proposed optimal model, optimal decisions are made about the optimal amount of purchases and shipments from the supplier to the place of sorting and transportation to waste customers, the optimal amount of cold storage inventory and the optimal place of construction of sorting centers. Numerical results show that the optimal locations for the construction of fruit sorting centers are in the city of Urmia. According to the results of sensitivity analysis, with a 10 to 80 percent increase in fruit demand, total costs increase from 8 to 18 percent. Also, with a 2 to 15 percent increase in transportation costs, total costs show a small change from 0.04 to 0.11 percent.

Keywords

References

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Iranian Journal of Agricultural Economics and Development Research
Volume 52, Issue 4
November 2021
Pages 773-785

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