Document Type
Article
Publication Date
2025
Publication Title
Annals of Operations Research
Keywords
performance certification, reformulation linearization technique (RLT), SCN, failures and uncertain demands, robust SCN design, decision-making under uncertainty
Abstract
In the dynamic and uncertain landscape of modern supply chains, a significant challenge for supply chain network (SCN) architects is ensuring that their designs consistently deliver reliable performance amidst variable traffic demands and unpredictable failures. This assurance is particularly difficult due to the exponential and potentially uncountable set of scenarios that must be considered for evaluation. In response to this challenge, we propose an optimization-theoretic framework to assess the performance of supply chain networks by incorporating flexible routing strategies amid system uncertainties. By modeling network failures and uncertain demand requirements, our methodology tackles the inherent intractability of these certification problems and provides valid upper bounds for the link utilization of the most congested link and the total unmet demand, essential metrics for maintaining reliable network operations. We leverage optimization and convexification techniques to optimize the SCN design under disruptions and demand variation. Through rigorous evaluations on various supply chain network topologies, our results demonstrate the efficacy and promise of our approach. Our framework not only provides a systematic way to certify SCN performance but also serves as a tool for supply chain architects to enhance resilience against unforeseen disruptions. Ultimately, our research contributes to the development of more reliable and resilient supply chains in an increasingly volatile global environment.
Funding Source
This article was published Open Access thanks to a transformative agreement between Milner Library and Springer Nature.
Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.
DOI
10.1007/s10479-025-06790-7
Recommended Citation
Chandra, A., Kim, J. Reliability certification of supply chain networks under uncertain failures and demand. Ann Oper Res (2025). https://doi.org/10.1007/s10479-025-06790-7
Comments
First published in Annals of Operations Research (2025): https://doi.org/10.1007/s10479-025-06790-7