A Supply Chain Design Model with Unreliable Supply
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Uncertainties abound within a supply chain and have big impacts on its performance. We propose an integrated model for a three-tiered supply chain network with one supplier, one or more facilities and retailers. This model takes into consideration the unreliable aspects of a supply chain. the properties of the optimal solution to the model are analyzed to reveal the impacts of supply uncertainty on supply chain design decisions. We also propose a general solution algorithm for this model. Computational experience is presented and discussed.