Optimizing Supplier Selection and Order Lot-Sizing Decisions in a Two-Stage Supply Chain

This paper analyzes different lot-sizing policies for the supplier selection and order allocation problem in a two-stage supply chain. The chain consists of multiple candidate suppliers single buyer. In this system, selected produce product batches at finite production rates, ship it to buyer, buyer sells market constant demand rate. Our goal is evaluate two select one that optimizes by minimizing total cost maximizing efficiency. A bi-objective mixed-integer nonlinear programming (BOMINLP) model proposed. first objective development coordination mechanism minimizes entire cost, second comprises data envelopment analysis (DEA) approach overall performance optimize Then, lot-for-lot frequency are applied BOMINLP separately determine set as well corresponding quantities number orders allocated each per replenishment cycle. Numerical examples illustrate solution compare provided.