In this thesis,a problem of supplier selection and order allocation for G Company under the risks of supplier supply disruption is studied.An analytical model and solution are proposed to determine the selection of supplier and appropriate order allocation among the selected suppliers.This study develops a mixed integer nonlinear programming formulation for supplier selection and order allocation in a multiple-objective,multiple-supplier sourcing environment.The supplier selection process is driven by the multiple objectives of minimizing total cost including purchasing costs,fixed ordering cost,logistics cost,and unexpected loss cost,along with the constraints of demand,capacity,quality standard,failure probability and quantity-based price discounts.To reflect a wide variety of operational conditions,four suppliers are selected and analyzed in this study to determine the optimal solution.This study is aiming to help G company optimize the current order allocation strategy,enhance the capability to mitigate risks,eliminate uncertainties and increase the core competency to make more profit and pursue the profitable development and sustainability. |