Question: In the supply network lecture, we discussed identifying the optimal material flow in a supply chain to match supply and demand. More specifically, we discussed
In the supply network lecture, we discussed identifying the optimal material flow in a supply chain to match supply and demand. More specifically, we discussed two examples: BuyPC.com case and a simple supply chains with plants, distribution centers DCs and customers. If you were hired by a company and were tasked to solve the BuyPC.com case using optimization tools, how would you do it To answer this question, lets consider the LP formulation for the simpler Plant DC supply chain problem setting: what if the company says we have possible DCs and we would like to utilize the best only to satisfy the demand! Now as a systems engineer or engineering manager, you are asked to formulate an optimization model to solve this automatically meaning select the best DCs out of DCs through optimization How would you modify the LP model: in other words a what additional decision would you define? b How would you modify the objective function and c How would you modify the constraints?In the supply network lecture, we discussed identifying the optimal material flow in a supply chain to match supply and demand. More specifically, we discussed two examples: BuyPC.com case and a simple supply chains with plants, distribution centers DCs and customers. If you were hired by a company and were tasked to solve the BuyPC.com case using optimization tools, how would you do it To answer this question, lets consider the LP formulation for the simpler Plant DC supply chain problem setting: what if the company says we have possible DCs and we would like to utilize the best only to satisfy the demand! Now as a systems engineer or engineering manager, you are asked to formulate an optimization model to solve this automatically meaning select the best DCs out of DCs through optimization How would you modify the LP model: in other words a what additional decision would you define? b How would you modify the objective function and c How would you modify the constraints?
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