Joint optimization for coordinated configuration of product families and supply chains by a leader-follower Stackelberg game

European Journal of Operational Research

Volumn 246, Issue 1, 2015, Pages 263-280

  Yang, Dong ^a,b   Jiao, Jianxin ^a   Ji, Yangjian ^c   Du, Gang ^d   Helo, Petri ^e   Valente, Anna ^f  

^a GEORGIA INSTITUTE OF TECHNOLOGY   (United States)

^b DONGHUA UNIVERSITY   (China)

^c ZHEJIANG UNIVERSITY   (China)

^d TIANJIN UNIVERSITY   (China)

^e UNIVERSITY OF VAASA   (Finland)

^f Institute of Systems and Technologies for the Sustainable Production   (Switzerland)

Author keywords

Bi level optimization; Module configuration; Product family; Stackelberg game; Supply chain

Indexed keywords

DECISION MAKING; GAME THEORY; GENETIC ALGORITHMS; MANUFACTURE; NONLINEAR PROGRAMMING; POWER TRANSFORMERS; PRODUCT DESIGN; SUPPLY CHAINS;

BI-LEVEL OPTIMIZATION; HIERARCHICAL OPTIMIZATION; MIXED INTEGER PROGRAMMING MODEL; MODULE CONFIGURATIONS; NONLINEAR OPTIMIZATION MODEL; PRODUCT FAMILIES; STACKELBERG GAMES; SUPPLY CHAIN CONFIGURATION;

INTEGER PROGRAMMING;

EID: 84930091487     PISSN: 03772217     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.ejor.2015.04.022     Document Type: Article

References (55)

1. Aust G., Buscher U. Cooperative advertising and pricing decisions in a manufacturer-retailer supply chain: A game-theoretic approach European Journal of Operational Research 223 2 2012 473 482
2. Bard J.F., Falk J. An explicit solution to the multi-level programming problem Computers & Operations Research 9 1 1982 77 100
3. Candler W., Townsley R. A linear two-level programming problem Computers & Operations Research 9 1 1982 59 76
4. Cao Y., Luo X.G., Kwong C.K., Tang J.F., Zhou W. Joint optimization of product family design and supplier selection under multinomial logit consumer choice rule Concurrent Engineering: Research and Applications 20 4 2012 335 347
5. Chen J., Zhang H., Sun Y. Implementing coordination contracts in a manufacturer Stackelberg dual-channel supply chain Omega 40 5 2012 571 583
6. Chiu M.-C., Okudan G. An integrative methodology for product and supply chain design decisions at the product design stage Journal of Mechanical Design 133 2 2011 1 15
7. Christiansen S., Patriksson M., Wynter L. Stochastic bi-level programming in structural optimization Structural and Multidisciplinary Optimization 21 5 2001 361 371
8. Daskin M.S., Snyder L.V., Berger R.T. Facility location in supply chain design A. Langevin D. Riopel Logistics systems: Design and optimization 2005 Springer Inc 39 65
9. Du X., Jiao J., Tseng M.M. Architecture of product family: Fundamentals and methodology Concurrent Engineering: Research and Application 9 4 2001 309 325
10. El Hadj Khalaf R., Agard B., Penz B. An experimental study of a product and supply chain design problem for mass customization Journal of Intelligent Manufacturing 21 6 2010 703 716
11. El Hadj Khalaf R., Agard B., Penz B. Simultaneous design of a product family and its related supply chain using a Tabu Search algorithm International Journal of Production Research 49 19 2011 5637 5656
12. ElMaraghy H.A., Mahmoudi N. Concurrent design of product modules structure and global supply chain configurations International Journal of Computer Integrated Manufacturing 22 6 2009 483 493
13. Esmaeili M., Aryanezhad M.B., Zeephongsekul P. A game theory approach in seller-buyer supply chain European Journal of Operational Research 195 2 2009 442 448
14. Fixson S.K. Product architecture assessment: A tool to link product, process, and supply chain design decisions Journal of Operations Management 23 3-4 2005 345 369
15. Fujita K., Amaya H., Akai R. Mathematical model for simultaneous design of module commonalization and supply chain configuration toward global product family Journal of Intelligent Manufacturing 24 5 2013 991 1004
16. Gibbons R. Game theory for applied economists 1992 Prince University Press New Jersey
17. Graves S.C., Willems S.P. Optimizing the supply chain configuration for new products Management Science 51 8 2005 1165 1180
18. Gupta S., Krishnan V. Integrated component and supplier selection for a product family Production and Operations Management 8 2 1999 163 182
19. Hansen P., Jaumard B., Savard G. New branch-and-bound rules for linear bi-level programming SIAM Journal on Scientific and Statistical Computing 13 5 1992 1194 1217
20. Huang G.Q., Zhang X.Y., Liang L. Towards integrated optimal configuration of platform products, manufacturing processes, and supply chains Journal of Operations Management 23 3-4 2005 267 290
21. Huang G.Q., Zhang X.Y., Lo V.H.Y. Integrated configuration of platform products and supply chains for mass customization: A game theoretic approach IEEE Transactions on Engineering Management 54 1 2007 156 171
22. Huang Y., Huang G.Q., Newman S.T. Coordinating pricing and inventory decisions in a multi-level supply chain: A game-theoretic approach Transportation Research Part E 47 2 2011 115 129
23. Ji Y., Jiao J., Chen L., Wu C. Green modular design for material efficiency: A leader-follower joint optimization model Journal of Cleaner Production 41 2013 187 201
24. Jiao J., Tseng M.M. A methodology of developing product family architecture for mass customization Journal of Intelligent Manufacturing 10 1 1999 3 20
25. Jiao J., Tseng M.M. On equilibrium solutions to joint optimization problems in engineering design CIRP Annals-Manufacturing Technology 62 1 2013 155 158
26. Jiao J., Xu Q., Wu Z., Ng N. Coordinating product, process, and supply chain decisions: a constraint satisfaction approach Engineering Applications of Artificial Intelligence 22 7 2009 992 1004
27. Jiao J., Zhang Y. Product portfolio planning with customer-engineering interaction IIE Transactions 37 9 2005 801 814
28. Jiao J., Zhang Y., Wang Y. A generic genetic algorithm for product family design Journal of Intelligent Manufacturing 18 2 2007 233 247
29. Kreng V., Lee T.P. Modular product design with grouping genetic algorithm: A case study Computers & Industrial Engineering 46 3 2004 443 460
30. Kristianto Y., Helo P., Jiao J., Sandhu M. Adaptive fuzzy vendor managed inventory control for mitigating the Bullwhip effect in supply chains European Journal of Operational Research 216 2 2012 346 355
31. Kumar S., Chatterjee A.K. A heuristic-based approach to integrate the product line selection decision to the supply chain configuration International Journal of Production Research 51 8 2013 2399 2413
32. Lamothe J., Hadj-Hamou K., Aldanondo M. An optimization model for selecting a product family and designing its supply chain European Journal of Operational Research 169 3 2006 1030 1047
33. Luo X.G., Kwong C.K., Tang J.F., Deng S.F., Gong J. Integrating supplier selection in optimal product family design International Journal of Production Research 49 14 2011 4195 4222
34. Melo M.T., Nickel S., Saldanha-da-Gama F. Facility location and supply chain management - A review European Journal of Operational Research 196 2 2009 401 412
35. Meyer M., Utterback J. The product family and the dynamics of core capability Sloan Management Review 34 3 1993 29 47
36. Nepal B., Monplaisir L., Famuyiw O. Matching product architecture with supply chain design European Journal of Operational Research 216 2 2012 312 325
37. Novak S., Eppinger S.D. Sourcing by design: Product complexity and the supply chain Management Science 47 1 2001 189 204
38. Oivares-Benitez E., Gonzalez-Velarde J.L. A meta-heuristic approach for selecting a common platform for modular products based on product performance and manufacturing cost Journal of Intelligent Manufacturing 19 5 2008 599 610
39. Park B.J. (2001). A framework for integrating product platform development with global supply chain configuration. Thesis (Ph.D.). Georgia Institute of Technology.
40. Salvador F., Forza C., Rungtusanatham M., Forza C. Supply-chain configurations for mass customization Production Planning & Control 15 4 2004 381 397
41. Shahzad M.K., Hadj-Hamou K. Integrated supply chain and product family architecture under highly customized demand Journal of Intelligent Manufacturing 24 5 2013 1005 1018
42. Siddique, Z., Rosen, D.W., & Wang, N. (1998). On the applicability of product variety design concepts to automotive platform commonality. ASME Design Engineering Technical Conferences, DETC1998/DTM-5661, Atlanta, GA.
43. Simchi-Levi D., Kaminsky P., Simchi-Levi E. Designing and managing the supply chain: Concepts, strategies, and cases 1999 McGraw-Hill New York
44. Simpson T.W. Product platform design and customization: Status and promise Artificial Intelligence for Engineering Design, Analysis and Manufacturing 18 1 2004 3 20
45. Simpson T.W., Siddique Z., Jiao R.J. Product platform and product family design: Methods and applications 2005 Springer New York
46. Thevenot H.J., Simpson T.W. Commonality indices for assessing product families Simpson T.W. Siddique Z. Jiao J. Product platform and product family design: Methods and applications 2005 Springer New York 107 129
47. Truong T.H., Azadivar F. Optimal design methodologies for configuration of supply chains International Journal of Production Research 43 11 2005 2217 2236
48. Tsang E. Foundations of constraint satisfaction 1993 Academic Press London
49. van Hoesel S. An overview of Stackelberg pricing in networks European Journal of Operational Research 189 3 2008 1393 1402
50. Viswanathan S., Piplani R. Coordinating supply chain inventories through common replenishment epochs European Journal of Operational Research 129 2 2001 277 286
51. von Stackelberg H. The theory of the market economy 1952 Oxford University Press Oxford
52. Waller M., Johnson M.E., Davis T. Vendor-managed inventory in the retail supply chain Journal of Business Logistics 20 1 1999 183 203
53. Wang Q.A. Coordinating independent buyers with integer-ratio time coordination and quantity discounts Naval Research Logistics 51 3 2004 316 331
54. Xiao T., Choi T-M., Cheng T.C.E. Product variety and channel structure strategy for a retailer-Stackelberg supply chain European Journal of Operational Research 233 1 2014 114 124
55. Zacharias N.A, Yassine A.A. Optimal platform investment for product family design Journal of Intelligent Manufacturing 19 2 2008 131 148