A DERIVATIVE CONTROL MECHANISM FOR SUPPLY CHAIN PERFORMANCE IMPROVEMENT

摘要

Organizations increasingly find that they must rely on effective supply chains to successfully compete in the global market and networked economy. Over the years, simulation models have proved to be a useful decision support tool for examining the performance of different system configurations and/or alternative operating procedures for complex systems to improve operational and organizational efficiency. This paper presents a new approach that transforms an optimization problem to a search problem by evaluating the interrelationship of decision making when either one or more actors in the supply chain take aggressive or conservative positions. This is aimed at improving and optimizing performance, both individually and for the entire chain in order to reduce costs, lower inventories, and increase manufacturing throughput.