A two-layered model for dynamic supply chain management considering transportation constraint

Abstract

This research proposes a two-layered model for dynamic supply chain management considering transportation constraint. The model provides a method for suppliers to estimate suitable prices and delivery times of products based on not only production schedules but also transportation plans in consideration of constraints about shipping times and loading capacities for transportation. A prototype of dynamic supply chain simulation system was developed and some computational experiments were carried out in order to verify the effectiveness of the model. The prototype system is available to determine suitable shipping times and loading capacities of transportation vehicles. Copyright © 2010 by JSME.