Track: Supply Chain Management
Abstract
Modern day customers wish to receive product and services as per their choice of channel, reach and convenience. For meeting such needs, supply chain managers have always looked for newer approaches and philosophy. One of such philosophy is emergence Omnichannel for providing seamless shopping experience to its customers. To implement omnichannel strategies in real practices need structuring and reconfiguring the practices of traditional supply chain network (SCN). Also due to easy and rich availability of information on dot com, customers tend to shift to the channel where prices are low. Thus demand fulfillment is affected by uncertainty in demand. For this, in this work a mathematical MILP model of multiple-channel distribution SCN (MCDSCN) has been proposed in which customers will be able access to product and services as per their choice of channels. So, the objectives of this model is not only minimizing total supply chain cost but also maximizing service level under uncertain environment. For showing the applicability of proposed model a numerical is illustrated which compares proposed model with traditional SCN. Significant saving is being achieved in proposed model over traditional SCN which justifies its applicability.
Keywords
Flexible Distribution Network, Omnichannel, Optimization, Supply Chain, Uncertainty.