Coordination Model For Supply Disruption Based On Dual Sourcing

With the globalization of supply chain and the application of lean management in supply chain management, supply chain management has been rapid development. But the loss that the complexed supply chain and the frequent occurrence of accidents is also growing in the supply chain. Supply disruption risk is one of the main supply chain risk. the research of the optimization of supply chain procurement decisions based on supply disruption risk can further improve the supply chain risk and emergency management theory system, but also provide a theoretical support for the supply chain manager when making procurement and management decisions.This thesis mainly studies the supply chain coordination model based on supply disruption risk under the dual sourcing. Most of the traditional dual sourcing models which consider supply disruption risk take consider manufacturers as the core study point, but in this thesis, we assume there are two different supply disruption probabilities suppliers supply for manufacturers. Through comparing the supply chain's profit function model of the member enterprises in the supply chain decentralized decision- making and centralized decision-making situation illustrates the supply chain exists "double marginalization". Then allowance contract and quantity discount contract were used to coordinate the supply chain model, in order to obtain the profit optimization of supply chain members. Finally, the example analysis by MATLAB mainly considers the effects of suppliers disruption probability for the supply chain optimal ordering quantity and the expected profit, and compares decentralized decision- making and centralized decision-making.Through using allowance contract and quantity discount contract in supply chain optimize, the result shows that the quantity discount contract can't realize the maximization of supply chain expected profit, and allowance contract can effectively solve the problem of "double marginalization" and realize the optimization of the supply chain profit. An example analysis shows the suppliers' disruption probability will have a great influence on model results, so we have to control and use it reasonably.