Integrated Optimization Of Supply Chain Based On Decision Makers’ Behavior In Risk Enviroment

With economic globalization and rapid development of information technology, supply chain management brings firms with development opportunities and competitive advantages and also enable them face more risks. There are a large number of uncertain risk factors, such as demand uncertainty, information asymmetry and supply instability of internal risks and natural disasters, economic crises terrorist attacks of external risks in the process of enterprises operations. Once these risks occur, and will give a tremendous impact on business and society. Therefore, Supply chain risk management (SCRM) is attracting great concerns of domestic and international academic and business community. SCRM should also consider the bounded rationality, riskattitudes and personal preferences of decision makers and so on. Considering the behavior of decision-makers to integrated supply chian optimization for study in supply chian risk management, this paper has important theoretical significance and pratical value. The main contents and conclusions are as follows:Firstly, we propose global supplier selection in the risk environment under the company’s competitive strategy and supply chain strategy. The hierarchy of the selection criteria considers not only the supplier’s cost, quality, service factors and their owncharacteristics, but also political, economic, geographical location and terrorism. The fuzzy multi-attribute group decision making method is a practical integrationof multiple expert decision-making behavior preferences. Linguistic variables are used to determine weights of individual attributes and ratings of alternatives. The final decision-maker integrates results of experts by fuzzy opration, then ranks candidate supplier and selects the best.Secondly, the research is integrated optimization procurement and distribution based on the risk attitudes of decision makers. A three-tier supply chain network is established including multiple suppliers, one distributor and multiple retailers. We integrate the strategic decision of supplier selection with the tactical decision procurement and distribution. It is analyzed to different risk attitudes of decision-makers impact on supply chain cost considering price, quality, delivery, supply capacity and demand as risks in the supply chain. The results show that the total cost of the supply chain are gradually increasing with decision maker’s risk attitude of the various risk parameters from risk seeking to risk aversion.Thirdly, a two echelon supply chain network is builded that encompasses multiple suppliers, distributors and retailers. We take into both the strategic decision of supplier selection and distribution center selection and the tactical decision of procurement and distribution. Each retailer is supplied by only one distributor. To solve the problem is more complicated. The risk attitudes have influences on supply chain performance, suppliers’ price, risk leve and retailers’demand being as risks fators. The results prove that the cost target is inversely proportional to decision-makers’risk preferences. The optimistic and pessimistic values of fuzzy variables are used to convert chance constraints into crisp equivalents based on credibility distribution. Theoretical approach is more complete and effective.Finally, the study is integrated optimization of the three echelon supply chain network under different decision-making mode. The supply chain network includes multiple suppliers, a single manufacturer, multiple distribution centers and multiple retailers and the model is expansion and improvement above-mentioned. That is not only the horizontal integration supply, manufacturing and distribution, but also the vertical integration of strategic and tactical. Single decision-maker’s assigning weights and multiple decision makers’cooperating willingness have impact on multi-objective performances in centralized and decentralized mode respectively. The results show that the weight assigned between the various goals can not be well balanced in centralized model. Multiple targets will be balanced and desirable results in decentralized mode that reflects management philosophy of group decision-making for supply chain members.This paper mainly studies personal preferences, risk attitudes and management thinking of decision-makers impact on supply chain integration in risk environment. It can improve supply chain management to provide strong theoretical guidance and practical support for Chinese enterprises in risk environment.