The design of robust value-creating supply chain networks: A critical review |
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Authors: | Walid Klibi Alain Martel Adel Guitouni |
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Institution: | 1. Interuniversity Research Centre on Enterprise Networks, Logistics and Transportation (CIRRELT), Canada;2. Département Opérations et systèmes de décision, Faculté des sciences de l’administration, Université Laval, Québec, Canada G1V 0A6;3. Defense R&D Canada – Valcartier, 2459 Pie-XI Nord, Val-Bélair, Québec, Canada G3J 1X5 |
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Abstract: | This paper discusses Supply Chain Network (SCN) design problem under uncertainty, and presents a critical review of the optimization models proposed in the literature. Some drawbacks and missing aspects in the literature are pointed out, thus motivating the development of a comprehensive SCN design methodology. Through an analysis of supply chains uncertainty sources and risk exposures, the paper reviews key random environmental factors and discusses the nature of major disruptive events threatening SCN. It also discusses relevant strategic SCN design evaluation criteria, and it reviews their use in existing models. We argue for the assessment of SCN robustness as a necessary condition to ensure sustainable value creation. Several definitions of robustness, responsiveness and resilience are reviewed, and the importance of these concepts for SCN design is discussed. This paper contributes to framing the foundations for a robust SCN design methodology. |
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Keywords: | Supply chain network design Value creation Uncertainty Network disruptions Robustness Scenario planning Location models Capacity models Resilience strategies |
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