Question: Wine Supply Chain Case Study: Let's assume that we want to design a wine supply chain network (SCN) in Kelowna. The wine SCN includes supplier(s)

 Wine Supply Chain Case Study: Let's assume that we want todesign a wine supply chain network (SCN) in Kelowna. The wine SCNincludes supplier(s) (i.e., providing bottle for wineries), winery(s), distributor(s), and markets. Wewant to know: How many and which supplier(s), winery(s), and distributor(s) shouldbe selected in order to minimize the total cost of wine SCN.Use the following sets, parameters, and decision variables to propose an optimization

Wine Supply Chain Case Study: Let's assume that we want to design a wine supply chain network (SCN) in Kelowna. The wine SCN includes supplier(s) (i.e., providing bottle for wineries), winery(s), distributor(s), and markets. We want to know: How many and which supplier(s), winery(s), and distributor(s) should be selected in order to minimize the total cost of wine SCN. Use the following sets, parameters, and decision variables to propose an optimization model for a wine SCN. S=setofbottlesuppliers(sS)W=setofwineries(wW)R=setofdistributors(rR)M=setofmarkets(mM)I=setofproducts(iI) As= cost of agreement (i.e., fixed-cost) with bottle supplier s Bw= cost of agreement (i.e., fixed-cost) with winery w Cr= cost of agreement (i.e., fixed-cost) with distributor r Esi= maximum capacity of bottle supplier s for product i Fwi= maximum capacity of winery w for product i Gri= maximum capacity of distributor r for product i Hsw= transportation cost between locations s and w Jwr= transportation cost between locations w and r Krm= transportation cost between locations r and m Dmi= demand of market m for product i Nsi= purchasing cost of product i from supplier s Owi= provision cost of product i in winery w Decision Variables Qswi= number of product i shipped from supplier s to winery w Twri= number of product i shipped from winery w to distributor r Yrmi= number of product i shipped from distributor r to market m Ps=1, if the supplier is located and set up at potential site s,0, otherwise. Uw=1, if the winery is located and set up at potential site w,0, otherwise. Vr=1, if the distributor is located and set up at potential site r,0, otherwise. Table 1 H[S][W]=[[5,3,[10,4,[2,8, J[W][R]=[[4,3,6[6,2,4[2,8,4K[R][M]=[[2,1,6,2,4[6,2,4,3,2[2,8,5,5,4[1,8,4,5,2 Table 2 MinZsQswiwTwri=mYrmirYrmiDmiwQswiPsEsiwTwriUwFwirYrmiVrGriPs,UW,Vr{0,1}Qswi,Twri,Yrmi0=swi(Nsi+Hsw)Qswi+wri(Owi+Jwr)Twri+rmi(Krm)Yrmi+sAsPs+wBwUw+rCrVr=rTwriw,ir,im,iw,i

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