The Multiple Sourcing Under The Supply Disruption Risk Based On The Cost And Service

With the development of economic globalization and the lean production, the participants in the supply chain formed a huge intricate, complex but closely linked partnership, which makes the normal production operations of the participating companies in the supply chain are more likely to be influenced by a variety of risk factors, and even companies occur the disruption risk. While, the "antinomy" relationship existed between logistics services and logistics costs also makes business buyers’decisions on supplier selection and order allocation are more complex. Due to the supplier’s supply capacity, in order to better meet the procurement enterprises’ normal need for productions; it is necessary to find the best balance between low cost and high service levels.Firstly, the paper builds the multi-source procurement model which the supplier is determined and the cost of the buyers is optimized. By analyzing the composition of the total cost of buyers such as purchasing costs, order costs, expected storage costs and expected lost costs, it is desirable to establish the mixed integer nonlinear programming procurement model whose decision-making objective is the minimum total expected cost. Because the suppliers have been identified, the expected loss quantity or the expected service level for companies is values.Then the article construct the orders model considering the optimization between expected total cost and expected service level to achieve optimal allocation decisions, when the case of the supplier can choose, introducing the 0-1 variables, adding expected service level measure method in supplier selection. Meanwhile, the article gives the approach by simplified and transformed the original bi-objective programming into a single objective function, using the genetic algorithm and the weight method.Finally, the scenario assumes and symbol assignment for the above two models. The paper using MATLAB optimization solutions results and analysis the procurement strategy in the distribution under different objective functions respectively, putting forward the inspiration and advices for the procurement strategy and enterprise management.