Publication Type

Conference Proceeding Article

Version

publishedVersion

Publication Date

9-2022

Abstract

Supply chain disruption, from ‘Black Swan’ events like the COVID-19 pandemic or the Russian invasion of Ukraine, to more ordinary issues such as labour disputes and adverse weather conditions, can result in delays, missed orders, and financial loss for companies that deliver products globally. Developing a risk-tolerant procurement strategy that anticipates the logistical problems incurred by disruption involves both accurate quantification of risk and cost-effective decision-making. We develop a supplier-focused risk evaluation metric that constrains a procurement optimization model for a global technology company. Our solution offers practical risk tolerance and cost-effectiveness, accounting for a range of constraints that realistically reflect the way the company’s procurement planners operate.

Keywords

Supply chain, Risk analysis, Procurement optimization

Discipline

Artificial Intelligence and Robotics | Operations and Supply Chain Management

Research Areas

Intelligent Systems and Optimization

Publication

Computational Logistics: 13th International Conference, ICCL 2022, Barcelona, Spain, September 21-23: Proceedings

Volume

13557

First Page

382

Last Page

396

ISBN

9783031165788

Identifier

10.1007/978-3-031-16579-5_26

Publisher

Springer

City or Country

Cham

Additional URL

https://doi.org/10.1007/978-3-031-16579-5_26

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