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Supply Chain 2012 Part 6

Tham khảo tài liệu 'supply chain 2012 part 6', kỹ thuật - công nghệ, cơ khí - chế tạo máy phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | Configuring Multi-Stage Global Supply Chains with Uncertain Demand 141 We take the same procedure to calculate the total production costs at international plants considering the exchange rate factor PCI h g m n 1 NRj z ỉ j h g m i I E jt p-1 UPCp-1Vjpi Qjpt - Qpj UPCp -UPCp-1 Qp - Qp-1 7 3.1.3 Transportation cost The transportation cost incurred at the plants and distribution centres is assumed to be proportional to the shipment amount with a constant unit transportation cost as well as the pipeline inventory cost Robinson Bookbinder 2007 . The corresponding term in the objective function is of the following form h g m h g m n d TC t zz UTCjkr PIXLTjkr Qjkrt 8 j h g 1 k h g m n 1 r t TCI h zm UTCjkr PI X LT-kr Qjkrt 9 j h g m 1 k h g m n 1 r t E jt h g m n d h g m n d c TCD zz UTC jkr PI X LTjkr Qjkrt . 10 j h g m n 1 k h g m n d 1 r t The raw material transportation cost is not considered in the model with the assumption that either it is already included the transportation costs or the supplier is responsible for delivering the raw materials to the manufacturing sites. 3.1.4 Capacity expansion cost The model allows the expansion of capacity over the maximum amount of available resources but there is a limit for such expansion. Based on the chase strategy for aggregate planning we assume the capacity such as the workforce can be adjusted from period to period. Here the model decides between outsourcing the production to the international plants with greater capacity or expanding the existing capacity at the domestic plants. It is assumed that the capacity expansion cost is lower at international locations. The capacity expansion cost at the domestic and international plants is h g m TCapCj - CapCj X max 0 CapJt - Cap maxj 11 h g 1 . 2 TCapCjI - 2 Z f-x CapCj X max Q Capjt - CapmaXj . 12 To avoid the computational complexity of the above mentioned nonlinear constraints we introduce the binary variable yjt which shows if capacity expansion occurs at plant j in .