Selection of suppliers in fuzzy environment with stock-out allowed and its heuristic algorithm for solution

Abstract

On the premise of time restriction and allowable stock-out, fuzzy parameters of suppliers' supply capacity and demand capacity of manufacturers are considered, and a satisfactory selection scheme of suppliers is discussed in this study for the determination of the suppliers involved and the quantity of their materials in order to minimize the total cost. A fuzzy planning model of single material demand is proposed concerning this issue, and fuzzy supply quantity and fuzzy demand quantity are converted to mean area used in heuristic algorithm for solution. © 2011 Springer-Verlag Berlin Heidelberg.