Optimal models for single-period supply chain problems with fuzzy demand

The aim of this paper is to develop an optimal technique for dealing with the fuzziness aspect of demand uncertainties. Triangular fuzzy numbers are used to model external demand, and decision models in both non-coordination and coordination situations are constructed. It is shown that in the decisi...

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Bibliographic Details
Published in:Information sciences 2008-09, Vol.178 (17), p.3374-3381
Main Authors: Xu, Ruoning, Zhai, Xiaoyan
Format: Article
Language:English
Subjects:
Cooperative policy
Decision analysis
Fuzzy demand
Single-period supply chain
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Summary:The aim of this paper is to develop an optimal technique for dealing with the fuzziness aspect of demand uncertainties. Triangular fuzzy numbers are used to model external demand, and decision models in both non-coordination and coordination situations are constructed. It is shown that in the decision models there exists a unique solution that can be expressed analytically. Based on the closed form solutions for both models, the behaviors and relationships of both the manufacturer and the retailer are quantitatively analyzed, and a cooperative policy for the optimization of the whole supply chain is put forward.
ISSN:0020-0255
1872-6291
DOI:10.1016/j.ins.2008.05.012