Balanced Supply Chain Network Planning Based On The Network

Supply chain including the raw material purchasing, transportation and production isa network structure. Commodity flow, currency flow and information flow pass throughthe beginning to end in supply chain. Nowadays, majority commodities are produced by aseries of enterprises together in stead of one. In 21st century, competitions among theenterprises will be replaced by competitions among their supply chains. Therefore, supplychain strategy has the vital significance to companies' success or failure.Supply chain network programming which consists of establishment locationproblem, the number of the establishments and parameters of the establishment is animportant part in the strategy decision-making phase of supply chain. Scientists indifferent countries have done much research in this field and achieved a lot in these years.Managers are also interested in the network programming. Then how to combine thetheory and application is the most important work we need to do now.The variation inequality theory which is the tool to resolve the network equilibriummodel has been shown in this article. Basing on the variation inequality theory, weanalyze the equilibrium condition of the supply chain network equilibrium model. Theseare all the basement of the supply chain network equilibrium model resolving the actualproblems. The innovation of the article is to utilize the equilibrium flows and price in thenetwork to forecast the profit. We can model the location problem basing on theequilibrium flows and price. Another innovation of this article is to utilize the equilibriumflow and price in the network to estimate the capability of warehouse. And make adecision whether building warehouse or renting. Basing on the above two aspects, weconclude a scheme of network programming at last.