Stochastic operational planning model for production and distribution in a hi-tech manufacturing network (Q840581)

Summary: Hi-tech industries are complex in nature, offering a variety of products, shorter product life-cycles, volatile demand. Hi-tech manufacturers are forced to confirm in advance to the customers the amount they can deliver by the specified due-date. In this work, we consider a single manufacturer and multi-assembler supply chain setting with multiple products, multi-period demand, learning rates etc. We develop a stochastic optimisation model, wherein underlying scenarios happen to be mixed integer linear programs. We solve the stochastic MILPs via a simulation of scenarios. Our focus is mainly on the multi-product ATP strategies that maximise the net profit of the manufacturer.